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AMA International University W.L.L

Environmental & Social Review Summary

This Environmental and Social Review Summary is prepared and distributed in advance of the IFC Board of Directors’ consideration of the proposed transaction. Its purpose is to enhance the transparency of IFC’s activities, and this document should not be construed as presuming the outcome of the Board of Director’s decision. Board dates are estimates only.
Any documentation which is attached to this Environmental and Social Review Summary has been prepared by the project sponsor and authorization has been given for public release. IFC has reviewed this documentation and considers that it is of adequate quality to be released to the public but does not endorse the content.
Project number 29050
Country
Philippines
RegionAsia and the Pacific
SectorColleges, Universities, and Professional Schools
DepartmentReg Manufact, Agri & Services, ASIA
Company nameAMA International University W.L.L
Environmental categoryB
StatusPending Signing
Date ESRS disclosedMay 6, 2010
Last Updated DateFebruary 8, 2012
Previous EventsApproved: July 14, 2010
View Summary of Proposed Investment (SPI), click here

OverviewCategory & Applicable StandardsKey Issues & MitigationCommunity EngagementsClient's Documentation

Overview of IFC's scope of review
The IFC Environmental and Social Review of AMA Computer Colleges (“AMACC” or the “Project”) of the AMAES/AMA Group of Companies (AMA Group) relied on:

interviews with key management personnel, including the AMAES corporate management team, AMACC contracted academic and non-academic staff, students and service providers at various campuses;
documents and reports made available by AMACC including requisite permits and written approvals, corporate (AMAES) policies and corporate and project-level human resource management documents, and;
site visits to the following project locations: (a) six AMACC campuses located in the National Capital Region (NCR) and Rizal, namely AMACC in Makati, Quezon City, Caloocan, Fairview, Pasig and East Rizal, and; (b) construction sites for new AMACC facilities in Fairview and East Rizal. Through these activities, an assessment was made of the effectiveness of the Company’s environmental and social management system for the proposed project and its ability to ensure and monitor compliance with major in-country regulatory requirements, IFC’s Performance Standards and relevant IFC Environmental Health and Safety Guidelines.
Project description
AMA Computer Colleges (the “AMACC” or the Project) is a member of the AMA Education System (AMAES) of the AMA Group of Companies. AMAES comprises several business lines delivering higher education in various disciplines including medicine, nursing, maritime studies and business administration. In addition AMAES also provides basic education and Computer Learning Centres opportunities. Typically the business lines and their constituent campuses are located in separate premises.

AMACC currently operates forty campuses in the Philippines located in Metro Manila (12), north Luzon (12), south Luzon (7), Visayas (5) and Mindanao (5). AMACC offers Bachelor of Science degree courses in information technology, computer science, computer engineering, electronics and communication engineering, electrical engineering, industrial engineering, and business administration. The student body ranges in size from 168 through 6,200. The largest campuses are located in NCR, Cebu and Davao. Outside of these large urban centres individual campuses typically have a student body of less than 1,000 students. The total student body is over 46,000.

The majority of AMACC colleges are located in multi-storey buildings. AMACC holds the lease for the entire building and thereby assumes management responsibility for the premises for the majority of campuses. This similar arrangement applies for buildings that are owned by AMACC. In buildings where AMACC only leases a number of floors, e.g., malls, building maintenance is primarily the responsibility of the owner. Each campus comprises lecture rooms, computer laboratories, a science laboratory, a library, a canteen, health clinic, and various administration offices. Contracted services include security, catering, health, janitorial services and general maintenance. Electricity and water is derived from local providers.

IFC financing comprises a $35 million loan. Financing from IFC will support:
expansion and improvement of all of its 40 schools through capital expenditure and new equipment and capital expenditures in all of its 40 schools;
establishing permanent campuses for key branches outside Metro Manila, and;
refinancing of existing high interest loans with a longer maturity financing.