Ayala Corporation (AC), one of the Philippines’ leading conglomerates, announced on September 21 that it would substantially strengthen its capital and business alliance with Mitsubishi Corporation. Mitsubishi Corporation will make an additional investment of roughly 44.5 billion pesos (about ¥120 billion), raising its economic stake in Ayala from the current 4.7% to 15%, and its voting-rights ratio to 20%.

　Under the deal, Ayala will issue Mitsubishi Corporation approximately 14.6 million common shares at 650 pesos per share, as well as approximately 71.86 million voting preferred shares. The transaction will also combine share purchases from existing shareholders and a tender offer.

　Ayala is expected to receive roughly 20 billion pesos in new funding, which it plans to use for debt reduction, share buybacks by Ayala and its listed subsidiaries, and future growth investments.

　The two companies’ partnership spans more than 50 years. With this expanded investment, Mitsubishi Corporation will move beyond being simply a major shareholder to further strengthen its position as a long-term strategic partner of Ayala. Ayala plans to expand its board of directors from the current seven members to nine, transitioning to the new structure once the necessary shareholder and regulatory approvals are obtained.

　Going forward, the two companies will explore new business opportunities across a wide range of fields, including real estate, infrastructure, energy transition, digital, mobility, and logistics. Ayala’s group includes major real estate developer Ayala Land (ALI), leading telecom operator Globe Telecom, and major bank BPI, among others, and this strengthened partnership could also affect the business development of these group companies.

　It should also be noted that the target of Mitsubishi Corporation’s expanded investment this time is not Ayala Land but its parent company, Ayala Corporation. While the economic stake is 15%, the voting-rights stake will be 20%.

　Completion of the transaction requires approval from the relevant authorities, and it is expected to be completed within fiscal year 2026.