Sy-led SM Investments Corp. (SMIC) and its real estate subsidiary SM Prime Holdings Inc. (SM Prime) are planning to tap the offshore bond market to fund their continued growth and expansion.

In a disclosure to the Philippine Stock Exchange (PSE) on Tuesday, March 17, the two firms said SMIC SG Holdings Pte. Ltd., a wholly owned subsidiary of SMIC, and SMPHI SG Holdings Pte. Ltd., a wholly owned subsidiary of SM Prime, have jointly updated their $3-billion multi-issuer European medium-term note (EMTN) program.

The firms said updating their EMTN program will pave the way for their planned bond offering overseas.

In September last year, SM Prime raised $350 million from its inaugural United States (US) dollar-denominated debt offering in the bond market. It priced the drawdown from the EMTN program at a coupon rate of 4.75 percent, the lowest coupon for such an issuance since September 2020.

The issuance was almost three times oversubscribed, with final demand reaching over $990 million. This issuance represents the second drawdown under the multi-issuer EMTN program with SMIC.

“Through this latest drawdown, we are able to tap the market at an opportune time to support our future projects and strategic initiatives,” said SM Prime President and Chief Executive Officer (CEO) Jeffrey C. Lim.

On the back of its cautious optimism entering 2026, SMIC will be aggressively expanding its retail, real estate, and banking businesses, particularly in the provinces.

SM Investor Relations and Sustainability Head Timothy Daniels said in a media briefing earlier this month that the firm’s strategy is to continue “investing in our growth by putting significant money into expanding our footprint and into very value-creating projects, particularly in the property.”

“We remain cautiously optimistic about 2026. The momentum that we saw in the fourth quarter and over the Christmas period [of 2025] was good, and the predominant, the prevailing economic conditions that we’ve been seeing support us to feel good coming into 2026,” he noted.

Daniels said SM will continue to follow its customers in the current environment and will continue to invest in its long-term strategic growth.

“In retailing, we will invest in footprint expansion. Alfamart will do 200-plus stores. The rest of the portfolio will also expand, as 85 to 90 percent of those stores go into new provinces,” he said.

SMIC intends to keep ahead of retailing trends, focusing on value for the customer that SM is known for, while continuing to add omni channels to reach its customers.

“We don’t see e-commerce being something that’s taking over, but we have the facilities. If they want it, we can deal with the customer however they want to do their shopping,” Daniels said.

In banking, he said SM’s banking units will continue to focus on lending, with an emphasis on middle-market companies and consumer lending, since these are driving the overall growth of the lending book in its banks.

Like retailing, the banks will also pursue branch expansion by going into the provinces, particularly underserved areas, and creating financial inclusion.

For its property business, SM Prime will be opening three to four malls this year, while any residential condominium expansion will take place in the provinces.

It also expects to complete Six E-Com Center this year while starting construction on a new convention center. The firm is also launching an upscale house-and-lot development in Susana Heights this year, as well as the 360 reclamation project in Manila Bay.

SM Prime is also developing two hotels, Radisson and Park Inn, in Santa Rosa City, Laguna.

For its portfolio investments, Daniels said SM’s emphasis this year will be to expand its operations while continuing to enhance its profitability.

Philippine Geothermal Production Co. Inc. (PGPC) will continue to develop up to six new geothermal steam sites that it has been drilling, in addition to the two it already has.

“We are aggressive on our growth and our long-term value creation,” Daniels said.