Manila, Philippines – March 20, 2019 –Top jeepney manufacturer Elmer Francisco Industries (“EFI”) and Hong Kong-based firm Madison Holdings Group (“Madison”) look forward to a potential business collaboration that will make brand new jeepneys affordable to transport groups and individuals through a flexible financing program. The financing program will help operators and drivers abide by the government’s Public Utility Vehicle Modernization Program (PUVMP). This is pursuant to Department of Transportation’s (DOTr) Department Order No. 2017-011, the Omnibus Guidelines on the Planning and Identification of Public Road Transportation Services and Franchise Issuance.
Under the PUVMP, jeepneys that are at least 15 years old are deemed road unworthy. The Land Transportation Franchising and Regulatory Board (LTFRB) noted that by 2020, around 180,000 jeepneys should be replaced with safer, more efficient and environment-friendly jeepneys.
However, it is likely to be challenging for the transport groups to be able to afford a new jeepney that costs up to two million pesos each. EFI Founder and Chairman Elmer Francisco said, “The main concern is the investment needed to buy a brand new jeepney.”
After a series of consultations with the transport groups, EFI formulated the flexible financing program called the Boundary Hulog. Francisco explained, “This is why EFI’s Boundary Hulog program is designed to match the paying capability of the operators/drivers. They can choose to complete the payment in eight, nine, or even 15 years. What’s important is their income is not affected by the purchase of the jeepney as they follow the law.”
Madison believes there will be significant upfront and recurring demand for electric-powered jeepneys which are compliant with the program. Under the cooperation agreement with EFI, Madison will exclusively supply these electric-powered jeepneys to EFI, as well as provide financial and blockchain services, including a cryptocurrency fare payment system.
The transport sector expressed interest in this potential business collaboration. This includes transport groups Alliance of Concerned Transport Operators (ACTO), Alliance of Transport Operators and Drivers Association of the Philippines (ALTODAP), Federation of Jeepney Operators and Drivers Associations of the Philippines (FEJODAP), Juan TSC, Luzviminda Transport Federation, Nobablum Transport, Western Bicutan TSC, Tubojoda, and Twelve Star TSC.
EFI last year launched its Francisco Passenger Jeepney (FPJ) in response to the jeepney modernization program. These were designed to be environment-friendly and to operate for the safety and convenience of the riding public.
FPJs come in Euro IV-compliant diesel-powered variant, and electric-powered jeepneys (e-jeep). Other features include automated fare collection, CCTV cameras, free wifi, speed limiters, and air conditioner for some units. FPJs also have a capacity of passenger capacity of 34, which is almost twice more than the standard jeepneys with 20-passenger capacity.
About Madison Holdings Group
Madison Holdings Group Ltd. (“Madison”) is a fintech services company headquartered in Hong Kong with businesses across the globe and is the only full-suite blockchain financial services company listed on the Hong Kong Stock Exchange (Ticker: 8057 HK). Madison delivers a comprehensive financial services platform providing both traditional and blockchain financial services, ranging from securities brokerage, investment advisory, asset management, cryptocurrency exchange platform licensed in Japan to high performance computing and cryptocurrency mining facilities in Sweden. The team comprises an executive team of financial industry veterans from global investment banks, and a comprehensive software team from blue chip institutions.
About Elmer Francisco Industries
Elmer Francisco Industries (EFI) is an established local assembler, distributor and manufacturer widely known in the Philippine automotive industry. The company started as small shop that specialized in painting jeepneys in 1947 before they became a reputable jeepney body builder and was called Francisco Body Builder (FBB) four years later. Since it was incorporated in 1960 as Francisco Motor Corporation, it intends to serve the Filipino market through continuous innovations of their product and services. Now, Elmer Francisco Industries undertakes the mass production of the modernized version of the Philippine work-horse dubbed as the King of the Road, the Jeepney.