IF THE MAJOR reshuffling of the leaders and losers of the Philippine Stock Exchange (PSE) is any indication of the new year, then it will be an even harder year for the Villars and a prosperous one for the Razons.
As 2025 closed, Ricky Razon, who leads global port operator International Container Terminal Services Inc. (ICTSI), made a surprising overtake of industry favorites in a major reshuffling of the stock market.
MAJOR WINNERS
ICTSI climbed 41 percent year on year in its market capitalization, or roughly P1.14 trillion, pushing it to the top from the third spot in 2024.
This was also after a P330-billion gain, the biggest among all listed firms, surpassing the gains of Manny Pangilinan and Lucio Tan’s companies.
Razon also got major bags from his two other firms—Apex Mining Co. Inc. and Manila Water Co. Inc.—with P47 billion and P34 billion, respectively.
Manny Pangilinan’s group also recorded big gains, with Manila Electric Co. (Meralco) and Philex Mining Corp. posting P99 billion and P41 billion.
Meanwhile, Lucio Tan–led Philippine National Bank also had a strong year with a P40-billion gain.
BIGGEST LOSERS
Meanwhile, the business and political clan of Villar, led by their patriarch Manny Villar, continued to suffer major losses as 2025 came to a close.
Villar Land Holdings Corp. suffered a massive loss pegged at P806 billion, which accounts to more than half of its market capitalization.
Other losers include SM Investments Corp. with P255 billion, Ayala Corp. with P155 billion, Jollibee Foods Corp. with P97 billion, and Globe Telecom Inc. with P84 billion.
In property, SM Prime Holdings Inc. suffered a loss worth P83 billion, while Ayala Land Inc. lost about P73 billion.
RICHEST NO MORE
From being the country’s richest man for years, Manny Villar was easily replaced not just because of Razon’s gains but also because of controversies exposing irregularities and incompetence among Villar’s firms.
Having reached the peak of its fame and fortune during the administration of their close ally, former President Rodrigo Duterte, the transition from a Duterte-led government to one in which the Dutertes hold almost no government power does not put the Villars in a good place.
Notably, 2025 was the year consumers finally had enough of the dreadful services of Villar’s PrimeWater and made it a national issue, exposing the company.
A DISMAL FAILURE
For the longest time, PrimeWater has been raking in lucrative revenues through Joint Venture Agreements (JVA) with local water utility companies and cooperatives which effectively gave the Villars the right to operate, distribute and collect for the “water services” in as many cities and municipalities.
However, instead of the improvements expected from the firm of the country’s richest man, what consumers got was a water nightmare born out of incompetence, if not outright negligence.
Consumers suffered years of poor to no water supply, muddy water, and terrible customer service, yet faced quick disconnections if bills were unpaid.
ENOUGH IS ENOUGH
The result: 61 of 70 local water utilities (LWUs) under JVAs with PrimeWater are dissatisfied, 24 issued notices of pre-termination, and 25 in the process of terminating JVA as of December.
But throughout those years of suffering, the Villars got their “unfair” share of profits.
From P196 million in 2017, their profits climbed to P1.8 billion in 2023, far from Cynthia Villar’s claim in an interview that they barely made profits from it.
As of December, Crystal Bridges Holdings Corporation of Lucio Co. acquired PrimeWater from the Villars, but consumers are still worried that things will remain the same, just under a different name.
THE REAL VALUE
The most significant factor in Villar’s fall was the discovery that the appraisals of newly acquired land inside Villar City did not comply with International Valuation Standards.
The Villars boasted a P1.33-trillion valuation, but the celebration did not last long when auditor Punongbayan & Araullo refused to sign on the fair-value adjustments, questioning the appraisal methodology.
As it turned out, the firm behind the P1.33-trillion valuation, did not comply with International Valuation Standards. Worse, the real value was barely P35.7 billion.
This immediately pulled Villar out of the richest-man throne.
VILLAR BRAND
More recently, Villar-controlled Siquijor Island Power Corporation (SIPCOR) lost its permit to operate in Siquijor after the Energy Regulatory Commission (ERC) determined that it had failed to deliver on mandated service improvements.
This marked the first time the government firmly revoked the operating authority of a Villar asset, and it might not be the last.
SIPCOR and PrimeWater had similar stories of failing to deliver service improvements. Reports indicate that PrimeWater failed to abide by the JVA in terms of performance duties.
Moreover, other firms of the clan, such as Vista Malls and AllDay Marts, are losing customers and profits.
AllDay suffered a revenue decline to P9.25 billion and a drop in net income to P268 million.
BUSINESS IS POLITICAL
“The PSEi’s decline this year is not just about numbers—it’s about trust and confidence,” noted PSE President and Chief Executive Officer Ramon S. Monzon.
“The corruption scandal, the deteriorating peso, and disappointing GDP performance for the third quarter clouded the economic outlook and triggered persistent selling by foreign investors,” Monzon added.
Razon’s rise is an example of a priority shift among investors, while Villar’s fall shows how business falls when confidence falls.
If the government truly wants to attract more investors, it needs to do the hard work of going after irregularities in the business sector and rewarding true good business as the leaders of the industry.