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Billionaire Sy's group counts on logistics growth, CEO says

Bloomberg Published on Wed, May 31, 2017 / 9:21 AM GMT+8

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(May 31): Almost 60 years after turning a shoe shop in Manila into a banking-to-property conglomerate that’s made him the richest man in the Philippines, billionaire Henry Sy has found the next growth engine for his group: logistics.

Sy’s SM Investments Corp. is counting on logistics affiliate 2GO Group Inc. to fuel earnings growth as e-commerce and economic growth boosts demand for deliveries, Chief Executive Officer Ricky DyBuncio, 57, said in an interview. Logistics may even become the company’s fourth business pillar after banking, real estate and retail, he said. The logistics company’s shares surged to a record Tuesday in Manila trading.

“As economic growth spreads nationwide, you will see a more and more increasing need for logistics operations,” DyBuncio, the first person from outside the Sy family to lead SM Investments, said in Manila May 25. “It definitely could grow by double digits for many, many years to come.”