Phoenix boss Dennis Uy replaces Tagud as head of 2GO
MANILA, Philippines – Davao-based Dennis Uy, the chief of Phoenix Petroleum Corporation, is the new president and chief executive officer (CEO) of listed integrated transport solutions provider 2GO Group Incorporated.
He was appointed by 2GO's board of directors in a meeting last Friday, April 7, after the decision of Sulficio Tagud Jr to retire both from the management and the board.
Uy also serves as the chairman of Udenna Corporation, the parent firm of Phoenix Petroleum and Chelsea Logistics Corporation. (READ: How SM Investments acquired stake in 2GO)
Udenna Corporation owns 31% of KGLI-NM Holdings Incorporated, which in turn, has 60% stake in 2GO’s parent firm, Negros Navigation Company Incorporated (NENACO).
"We are committed to bring 2GO to new heights," Uy said in a statement. "We thank Mr. Tagud for his contributions in making 2GO resilient and more stable than ever. We hope to continue guiding it to further growth and sustainability."
In February, 2GO effectively recognized the shareholding of Udenna with the election of Uy to the logistic firm's board of directors.
Uy further expressed the management’s commitment to remain focused on providing the best transport solutions in the Philippines.
Udenna entered the logistics sector as early as 2006 through Chelsea Shipping Corporation mainly to support the operations of Phoenix Petroleum. Chelsea Shipping has since grown into the country’s third-largest in terms of gross tonnage in 2016.
Udenna is poised to further expand its footprint in the logistics sector with the planned consolidation of its stake in 2GO with its other shipping businesses under Chelsea Logistics.
Udenna indirectly has 21% voting and 28% beneficial interests in 2GO.
"Aside from creating synergies among 2GO, our existing shipping operations and other businesses in other sectors, we look forward to expanding Chelsea Logistics to become the prime mover of goods and passengers in the Philippines," Uy noted.
Uy also cited bright prospects for the logistics sector in the Philippines, as the government works on sustaining and even accelerating the economy’s growth.
"The government’s infrastructure push, in particular, will allow the logistics sector better serve Filipinos across the archipelago and, at the same time, meet the growing demand for such services," Uy said.
A few weeks ago, Sy family-led SM Investments Corporation paid $124.50 million to China-ASEAN Marine BV for a 34.5% stake in 2GO's parent firm, NENACO.
The 2GO group was formerly part of the Aboitiz conglomerate and was known as Aboitiz Transport Corporation, having grown from the original Superferry brand. Aboitiz Equity Ventures sold the unit to NENACO in 2010 for $81 million.
Shares of 2GO went up by 1.74% to P11.70 on Monday, April 10. – Rappler.com