SM Investments Corporation

SM Investments Corporation

Type	Holding company
Founded	Manila, Philippines (1994)
Founder	Sy Family
Headquarters	SM Central Business Park, Mall of Asia Complex, Pasay, Metro Manila, Philippines
Key people	Henry Sy Sr., founder, chairman and CEO
Subsidiaries	SM Prime Holdings (PSE: SMPH), SM Development (PSE: SMDC), Banco de Oro (PSE: BDO), China Banking Corporation (PSE: CHIB) and other Subsidiaries
Website	www.sminvestments.com

SM Investments Corporation, SM Investments, or SMIC, is a holding company with interests in shopping mall development and management, retail, real estate development, banking, and tourism,^[1] founded by Henry Sy, Sr. It has become one of the largest conglomerates in the Philippines,^[2] being the country's most dominant player in retail with 208 stores nationwide. Of these, 47 are SM Department Stores; 38 are SM Supermarkets, 37 are SM Hypermarkets and 86 are SaveMore branches.

History

In 1958, Sy's first company, Shoemart (SM), started in Carriedo, Manila. He initially focused on buying large supplies of shoes from the United States. His business expanded as he transformed his shoe store into a department store.^[3]

At this point, Sy set up his second company, SM Department Store Inc., and began selling stocks to department stores. In 1978, Sy began buying supermarkets at the northern end of EDSA in Quezon City. By the time he built his first mall, SM City North EDSA in 1994, his companies were listed in the Philippine Stock Exchange, SM Prime Holdings Inc. ^[4] By 2005, the SM Investments Corporation was inaugurated.

Subsidiaries

Retail and Malls

SM Prime Holdings is the parent company of the SM Group's shopping malls, the largest shopping mall and retail operator in the Philippines. It was incorporated on January 6, 1994 by Filipino-Chinese entrepreneur Henry Sy to develop, conduct, operate and maintain the SM commercial shopping centers and all businesses-related thereto, such as the lease of commercial spaces in the compound of shopping centers. It went public on July 5, 1994 and subsequently grew, becoming the largest company listed on the Philippine Stock Exchange in terms of revenue. The company's main sources of revenues include rental income from mall and food courts, cinema ticket sales, and amusement income from bowling and ice-skating.

SM Prime is currently one of the largest shopping mall chains in the world, with 40 supermalls built and eight proposed or under construction malls. Its largest mall, which at first, is the largest mall for a 15-year period, is the SM Megamall. Alongside is the once-largest mall in the country, SM Mall of Asia and the very first SM mall, SM City North EDSA.

SM Prime operates the following:

• The SM Store - is the foundation of SM, as well as the lifestyle and fashion chain. SM holds more than 50 SM Department Stores nationwide.
• SM Supermarket - is the supermarket chain. It offers food and non-food products.
• SaveMore Market
• SM Hypermarket - is a retail chain, offering wet market, grocery, general merchandise, and discount products.
• Pilipinas Makro, Inc. (Makro) - is a once-retail chain, but now a member of SM Group.

Banking

• Banco De Oro - is the largest bank in the Philippines in terms of assets. It is a full-service universal bank providing a wide range of corporate, commercial, retail, private banking and investment banking services through its 700 branches in key business and commercial areas nationwide. It has the largest loan portfolio as well as the largest trust of Philippine banks.

• China Banking Corporation - is the Philippines' fourth largest universal bank by market capitalization. Established in 1920, it is the first privately owned commercial bank in the Philippines. It is likewise the first bank in Southeast Asia to process deposit accounts online in 1969, and the first Philippine bank to offer phone banking in 1988. China Bank is one of the strongest and most profitable banks in the Philippines today. The Bank posted a January to September 2009 net income of P3.21 billion, 40.7% higher than the P2.28 billion income recorded for the same period in 2008. This income performance translates to a 15.53% return on equity and a 2.02% return on assets, among the highest in the industry. China Bank also provides banking services through 248 branches and 388 ATMs nationwide, including the China Bank Savings.

Real estate property

• SM Development Corporation (SMDC) - is a residential property developer which focuses on the premium middle market. SMDC now operates SM Residences and MPlace.

• Highlands Prime, Inc. - is a residential developer in Tagaytay Highlands, a mountainside resort and residential complex.

• Mall of Asia Complex - is an alternative business and tourism district, as well as the home of the SM Mall of Asia, SMX Convention Center (the largest private venue in Philippines), OneE-com Center and Mall of Asia Arena (one of the largest private sports venue in Philippines). The Mall of Asia Complex occupies 60 hectares of land along the coast of Manila Bay, offering locations for business, tourism, retail, and leisure projects.

• Hamilo Coast - is a large-scale eco-tourism project to develop in phases 5,700 hectares of land by the sea in Nasugbu, Batangas into a network of coastal resort communities.

• Since November 2014, the consortium of SM Investments and the family of Francisco Ortigas owns 37% of OCLP Holdings, the parent of Ortigas & Company.

Mining

• Atlas Consolidated Mining and Development Corporation - is engaged in gold mining operations.

Hospitality and convention

• SM Hotels and Conventions - now operates Taal Vista Hotel in Tagaytay City, Radisson Hotel Cebu, Pico Sands at Pico de Loro in Nasugbu, and Megatrade Hall in Mandaluyong City and Cebu.

• SMX Convention Center (SMX) - is a convention center located within the Mall of Asia complex for hosting conventions, seminars, and conferences. Its first branch opened on November 26, 2007. It also has branches in SM Lanang Premier in Davao City and SM Aura Premier in Taguig City, which opened on September 12, 2012, and May 17, 2013 respectively. It will soon open in SM City Bacolod in September 2014, SM Seaside City Cebu in 2015 and in SM City Clark.

• SM Mall of Asia Arena - is a venue which hosts concerts and other big events, opened on June 16, 2012. Its seating capacity is 16,000 and it hosted the 2013 FIBA Asia Championship. It is one of the largest arenas in the Philippines. In 2013, the SM Group announced that there will be another arena of a different name in SM Seaside City Cebu in Cebu City. ^[5]

Gaming

• Belle Corporation - is Henry Sy's foray in the gaming industry in the Philippines, hoping to capitalize the future of Pagcor's entertainment city.

Corporate social responsibility

SM Foundation is the corporate responsibility arm of the SM Group of Companies. The foundation has various areas of advocacy: education, scholarship programs, building schoolhouses, a mall-based outreach program, health care, medical missions, mobile clinics, hospital activity centers and religious community projects.

SM Cares

SM Cares is a program created to consolidate and coordinate all of SM Prime's corporate social responsibility (CSR) initiatives. Carried out in all 40 SM malls nationwide, SM Cares' CSR projects cover environmental conservation (energy, air and water), and assistance to customers of SM malls with special needs such as the disabled, special children, the elderly and nursing mothers.^[6]

Other subsidiary

• International Toyworld Inc. - is a subsidiary of SM which deals with American-branded and local-branded toys.

See also

• SM Prime Holdings
• SM City North EDSA
• Banco de Oro

References

External links

• Official website
• SM Prime Holdings website

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