Japan’s Mitsubishi Corporation will raise its economic stake in Ayala Corporation, the Philippines’ oldest conglomerate, to 15% from 4.7% in a P44.5-billion transaction that Ayala announced on Monday, 21 September 2026. The deal, priced at P650 per share, will lift Mitsubishi’s voting interest to 20% and hand Ayala about P20 billion in fresh cash, Rappler reported.
The Philippine Star put the value of the deal at approximately $700 million and said it combines primary and secondary shares, including a voluntary tender offer. Track more corporate deals on our business hub and Philippines hub.
Key takeaways
- Mitsubishi’s economic stake in Ayala rises to 15% from 4.7%, with voting interest at 20%, in a P44.5-billion deal at P650 a share.
- Ayala expects about P20 billion in proceeds for debt reduction, share buybacks and growth.
- A voluntary tender offer for up to about 30 million shares at P650 gives public shareholders a chance to sell at the same price.
How the deal is structured
According to The Philippine Star, Ayala signed a definitive agreement under which Mitsubishi will subscribe to new shares and acquire existing ones at an agreed P650 each. As part of the transaction, Ayala will run a voluntary tender offer on Mitsubishi’s behalf for up to roughly 30 million common shares at the same price.
Rappler reported that Ayala also plans to expand its board from seven to nine directors, subject to shareholder and regulatory approval. The Zobel de Ayala family remains in control: its holding company, Mermac Inc., held 47.84% of common shares and 57.79% of all voting shares as of end-2025, Rappler said.
Where the P20 billion goes
Ayala said the roughly P20 billion it will receive will be used to cut debt, continue buying back shares of the company and its listed subsidiaries, and fund growth. Rappler noted the sum is significant for the parent company, which had P19.9 billion in parent cash and P138.2 billion in parent net debt at the end of June.
In a Bloomberg Television interview on Wednesday, 23 September, Ayala president and CEO Cezar Consing said shareholders should see gains even in the near term, InsiderPH reported. He listed debt reduction, buying shares in listed units that Ayala considers “grossly undervalued,” and growing selected businesses as the three uses of the cash.
“This is long-term money, long, long-term money,” Consing said. He added that Mitsubishi will take two seats on Ayala’s enlarged nine-member board and deploy about a dozen people across the parent and key operating companies.
A bet on the Philippine market
Consing called the transaction the country’s largest foreign direct investment this year. “This is the kind of transaction that I think will force people to look at the Philippines again,” he said, as quoted by InsiderPH. He said Mitsubishi sees Ayala and the local market as deeply undervalued and believes the “value up” playbook used in Japan can help sharpen the group’s focus and returns.
The two groups plan to work more closely in infrastructure, energy transition, real estate, digital technologies, mobility, logistics and other emerging industries, The Philippine Star said. Mitsubishi once owned 20% of Ayala before gradually trimming its holdings, according to InsiderPH.
The GCash connection
The companies are already partners in fintech. Rappler reported that Mitsubishi owns half of AM50 Ventures, Ayala’s venture arm, which holds a stake in Mynt, the parent of GCash. Mynt is preparing for a Philippine Stock Exchange listing targeted for 20 October, with an offer period scheduled for 6 to 12 October, Rappler said, although the Mitsubishi deal is separate from the IPO.
Ayala chairman Jaime Augusto Zobel de Ayala said the investment reflects a long relationship and shared long-term thinking. “As we enter this new chapter with Mitsubishi, we look forward to deepening our collaboration and creating lasting value for our stakeholders,” he said, according to The Philippine Star.
