According to a statement released by the Office of the Special Assistant to the President for Investment and Economic Affairs (OSAPIEA) of the Philippines, U.S. private equity giant Cerberus plans to invest $250 million over the next 12 months to strengthen its business presence in the Philippines.
This round of investment includes Cerberus’ further upgrading and renovation of the Subic Shipyard, as well as new projects in the fields of logistics, energy, and transportation infrastructure.
Public records indicate that Subic Shipyard was established in 2006 by South Korean shipbuilder HJ Heavy Industries (formerly HANJIN Heavy Industries & Construction, HHIC), and it once developed into one of the world’s top five shipyards, being the largest shipyard in Southeast Asia at the time in terms of land area. The shipyard is located on the north side of Subic Bay and mainly builds large container ships, gas carriers and oil tankers. It delivered its first newly built ship in 2008, and at its peak, the shipyard employed over 20,000 people.
In April 2022, Cerberus acquired the Subic Shipyard for $300 million with a 50-year lease. At that time, the shipyard had been bankrupt for three years. Cerberus then invested $40 million to revive the business. Since then, the shipyard has become an important strategic hub for industrial, naval, and logistics operations.
Currently, the Subic Shipyard’s major tenants include HD Hyundai Heavy Industries, submarine fiber optic data cable manufacturer SubCom, listed logistics company V2X, and the Philippine Navy.
Cerberus revealed that HD Hyundai Heavy Industries will start shipbuilding operations at the Subic Shipyard in the fourth quarter of 2025, ahead of the original plan of January 2026. The company said this milestone marks an important step in the transformation of the Subic Shipyard into a world-class industrial and maritime hub.
It is worth mentioning that HD Korea Shipbuilding & Offshore Engineering (HD KSOE), the intermediate holding company for HD Hyundai Group’s shipbuilding business, has commissioned Subic Shipyard to build four oil tankers. This is the first time that the shipbuilding company has entrusted the construction of new ships to a shipyard other than HD Hyundai Heavy Industries, HD Hyundai Samho and HD Hyundai Mipo.
In addition to the Subic shipyard, Cerberus is also promoting additional investments in key infrastructure and logistics projects across the Philippines.
Previous reports suggested that HD Hyundai and Hanwha Group were interested in acquiring the Subic shipyard, but both companies have denied this.
Headquartered in New York, Cerberus manages over $65 billion in assets, covering complementary credit, real estate and private equity investment strategies.