Shares in Metro Pacific, the Philippine trading arm of conglomerate First Pacific, surged almost 9 per cent yesterday on speculation it may tie up with rival developer Ayala Land to help complete its 214-hectare Fort Bonifacio redevelopment in Manila.
An alliance would significantly boost the project's finances and credibility.
Ayala Land is the largest property group in the Philippines and the main developer of Makati, an area next to Fort Bonifacio which houses Manila's stock exchange and financial district.
Metro Pacific has a controlling interest in Fort Bonifacio through its subsidiary Bonifacio Land.
Ayala Land could be a source of fresh capital for the project and help ease Bonifacio Land's heavy debt load.
Reports said Ayala Land chairman Jaime Augusto Zobel de Ayala and First Pacific managing director Manuel Pangilinan met last month to discuss Fort Bonifacio.
Robert Sherbin, First Pacific's group vice-president of corporate communications, yesterday acknowledged that Mr Pangilinan had met Ayala Land representatives, but he refused to elaborate.
