Those in the know are aware that the Ayala Group has quite a number of automotive companies in its corporate portfolio. It has Honda, Volkswagen, Isuzu, and motorcycle giant KTM. Now, it will be adding another name to this distinguished l roster as it is set to acquire a substantial stake in Kia's Philippine distributor Columbian Autocar Corporation.
According to a report by the Philippine Star, the Ayala Group will purchase a 65% stake in CAC. The remianing 35% will still belong to CAC owner and Palawan Governor Jose "Pepito" Alvarez. Keen observers may note that this arrangement is similar to the one made with SMC Asia Car Distributors Corporation, the new owners of BMW in the country.
The deal is said to take effect in about two months time. As early as February of this year, however, Kia Motors already sent Ayala a notice that it was the "preferred bidder". Under the new partnership, Ayala will have the rights to distribute and market Kia vehicles in the country.
We look forward to this new deal. Given what AC Industrials, the company that handles Ayala's auto business, has done for the aforementioned brands, it looks like there will be a newfound zeal for the Kia brand in the near future.
