It was not so long ago that Andrew Tan stepped down as CEO at Alliance global group Inc. His son Kevin took over as the company’s CEO. However, it seems Tan senior is back and leading a group of investors in negotiations to buy some more AGI shares in the next few months.
This new plan comes shortly after AGI’s repurchase program. This started late in 2017 during which AGI bought $96 million worth of shares. By the time the repurchase program ended, the company had managed to purchase 309 million shares, which accounts for close to 3 percent of shares issued.
The new round of repurchasing shares will take place in the next one year and will cost the company close to $48 million. The company stated that they would continue repurchasing shared because they believe in the shares’ underlying value. The company also stated that its stock value is backed by a strong business franchise in all their ventures, many years of good returns and continued growth.
The company has a stake in many areas, including real estate development. They have been involved in the development of hotels, malls, and office space. Recently, AGI announced they had set aside $7.85 billion to be used in expenditures starting in 2020.
AGI also plans to continue developing the Westside City, a 30 odd hectare area in the entertainment precinct of Manila. They plan to build Westside City Resorts, a project with casinos and resorts.
An interesting fact in this latest Transaction is that Tan senior is part of the repurchasing program. This new venture will not only increase the company’s revenue but also share value as well. The Company recorded a half-year net income of $169 million, which is an increase of more than 4 percent from last year.