DigiPlus clarifies its 2025 CAPEX plans, allocating P2.5B-P3B (USD$43M-USD$52M*) for maintenance and Brazil investment, excluding funding for new ventures.
DigiPlus Interactive Corp. has clarified its capital expenditure (CAPEX) plans for the year.
In a disclosure on the Philippine Stock Exchange, DigiPlus said it was allocating P2.5 billion to P3 billion (US$43M-US$52M*) for maintenance capital expenditures and to initially fund its investments in Brazil.
This was in response to a Manila Standard article which said the company, which owns Arena Plus and Bingo Plus, earmarked up to P3 billion to support its expansion plans. Digiplus clarified that this “excludes funding for potential new investments.”
This statement clarifies that the previously reported figure of P2.5 billion to P3 billion (USD$43M-USD$52M) is specifically earmarked for two key areas: maintenance CAPEX within the Philippines, ensuring the upkeep and smooth operation of existing services, and funding the initial investment in the Brazil project.
The article quoted Celeste Jovenir, Vice President for Investor Relations, saying the amount "covers the initial spending for the Brazil venture, which the company is finalizing in preparation for a fourth-quarter operation."
Furthermore, the article noted that Chairman Eusebio Tanco stated the company is "also looking at other markets for expansion overseas."
DigiPlus's disclosure emphasizes that the allocated CAPEX excludes funding for any potential new investments beyond the Brazil venture. This distinction is crucial, as it separates current spending commitments from future expansion possibilities.
While the company is clearly interested in growth, as indicated by Tanco's comments, the current CAPEX budget is strictly defined. Any further expansion beyond the Brazil project would necessitate separate funding and would not be drawn from the currently allocated P2.5 billion to P3 billion (USD$43M-USD$52M).
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