Dennis Uy's Chelsea acquires original proponent status for Davao Sasa Port modernization
MANILA, Philippines – The Philippine Ports Authority has granted Chelsea Logistics and Infrastructure Holdings Corporation original proponent status for the Davao Sasa Port Modernization Project.
Chelsea is controlled by Dennis Uy, a Davao businessman who donated P30 million to President Rodrigo Duterte’s presidential campaign.
As the original proponent, Chelsea needs to match or best other bids in a Swiss challenge for the 25-year joint venture agreement to modernize the port, according to a GMA News report.
Three other bidders eyed the P18.99-billion deal to modernize Davao’s main port in 2015, namely San Miguel Corporation, Davao International Container Terminal Incorporated, and Portek International Limited.
The project aims to develop the existing Davao Sasa Port into a “modern, international-standard container terminal” to ease trading and spur economic growth in Mindanao through its dedicated containerized port, according to the Public-Private Partnership (PPP) Center.
The invitation to bid for the project includes modernization of the existing port and the establishment of dedicated container handling facilities, as well as operations and maintenance.
However, the project was among 7 PPP projects that were postponed in 2016 due to delays in acquiring government permits.
Last July, Uy also bought 100 million shares in the Roberto Ongpin-led mining company Atok-Big Wedge.
Uy has bought 36 companies since Duterte became president, including convenience store chain FamilyMart, Ferrari distributor Autostrada Motore, and restaurant chain Conti’s. (READ: Dennis Uy’s growing empire (and debt)) – with reports from Loreben Tuquero/Rappler.com