MANILA Water Co. Inc. said Friday that it had signed a P15-billion, 10-year term loan facility with Metropolitan Bank & Trust Co. (Metrobank) to fund various capital expenditure (capex) projects.
This followed a P10-billion, 10-year term loan facility that the water concessionaire signed with China Banking Corp. in November, also to shore up its capex budget.
Manila Water, incorporated on Jan. 6, 1997, started commercial operations on Jan. 1, 2000, and became publicly listed on March 18, 2005.
It holds the right to provide water and wastewater services to the East Zone of Metro Manila under an August 1997 concession agreement with the Metropolitan Waterworks and Sewerage System (MWSS).
The original term of the concession was for 25 years, to expire in 2022, but was extended in 2009 by another 15 years to May 2037.
In 2021, Republic Act 11601 that became effective January 2022 granted Manila Water a franchise for the East Zone service area and the province of Rizal for a 25-year period. It also confirmed the firm’s status as a public utility.
On its website, Manila Water says that it provides water treatment, water distribution, sewerage and sanitation services to over 7 million people in the East Zone, which covers 24 cities and municipalities including Makati, Mandaluyong, Pasig, Pateros, San Juan, Taguig, Marikina, most parts of Quezon City, portions of Manila and Parañaque, as well as the Rizal towns of Angono, Antipolo, Baras, Binangonan, Cainta, Cardona, Jala-Jala, Morong, Pililia, Montalban, San Mateo, Tanay, Taytay and Teresa.
Last week, the MWSS approved a water rate increase starting next year, applicable to both Manila Water and its West Zone counterpart, Maynilad Water Services Inc.
Manila Water shares on Friday rose by P0.30, or 1.17 percent, to close at P26 each amid a 0.17-percent uptick for the Philippine Stock Exchange.
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