Henry Sy to spend P66B on new malls, condos, bank branches
SM Investments Corp., the country’s largest conglomerate, plans to fork out P66.3 billion this year to scale up its retail, property and banking businesses.
A big chunk of the programmed capital budget or P50 billion will go to property development (malls P21 billion, residential P23 billion, commercial P5 billion, and hotels and convention centers P1 billion).
SMIC has earmarked about P11 billion for the expansion of the group’s banking operations.
About P5.2 billion will be be channeled to the construction of new retail stores.
SM Prime will be opening six new malls in the Philippines to bring its portfolio to 80 by the end of the year including the seven located in China.
In the residential segment, SM Development Corp. will build 12,000 to 15,000 residential condominium units in and outside Metro Manila.
As for the commercial segment, the construction of Three E-Com Center and Four E-Com Center in the Mall of Asia Complex continues with completion targeted in 2018 and 2020, respectively.
For retail, the group plans to open 4 SM Stores, 4 SM Supermarkets, 18 Savemore stores, 2 SM Hypermarkets and 76 specialty stores.
“The above expenditures will be funded through internally generated sources and other capital raising initiatives such as bond issuances,” SMIC said.