SMBC completes additional investment in RCBC

Sumitomo Mitsui Banking Corporation (SMBC) has completed its acquisition of an additional 15.01% equity stake in Rizal Commercial Banking Corporation (RCBC), a commercial bank in the Philippines. As a result of this acquisition, SMBC’s shareholding in RCBC has increased to 20.00%.

Through the investment and business partnership with RCBC, SMBC Group will also expand its capabilities to service customers seeking to expand their business in the Philippines, leveraging RCBC’s nationwide branch network and wide range of financial services. SMBC will continue to strive to contribute to further developing the Philippines’ financial industry and further strengthening SMBC Group’s growth strategy in the country.

The transaction, originally announced in November 2022, supports SMBC Group’s multi-franchise strategy to capture the growth of key emerging markets in Asia. SMBC views the Philippines as one of its important markets and entered into a new partnership with RCBC with a 4.99% equity stake acquisition in June 2021.

RCBC is a leading commercial bank in the Philippines. It is a member of the Yuchengco Group, which has a track record of successfully working with Japanese corporates and owns the largest Japan Desk business among local banks. RCBC is also recognized for its digital banking services and ESG initiatives in recent years.

SMBC and RCBC have deepened their mutual understanding since partnering in 2021 and have come to agree on the high growth potential of RCBC. SMBC and RCBC will enter into a business partnership agreement to explore business opportunities, on top of their capital partnership.

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