Philippines: SM Investments picks 62.21% in MyTown dormitory brand owner PULS
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According to an SMIC disclosure, it acquired more than 674.8 million common shares of PULS, with price less than 10 per cent of the giant holding company’s net book value, which was determined based on appraised asset value.
“This acquisition allows SMIC to capture growth opportunities in the dormitel segment,” SMIC informed the Philippine Stock Exchange.
Established in 2012, PULS owns, develops and operates dormitory spaces for rent under the MyTown brand aimed at young professionals. It has built rental housing communities at a walking distance from the central business districts of Metro Manila.
“MyTown’s dormitories are equipped with attractive amenities and targeted retail facilities that allow its tenants to save on travel time and transportation cost,” SMIC said in its statement.
A holding firm of conglomerate SM Group of Companies, SMIC is engaged in retail, property, financial services, among others. Among its subsidiaries are The SM Store, SM Supermarkets, SM Hypermarkets, SaveMore, Waltermart Supermarket Inc, SM Prime Holdings Inc, BDO Unibank and China Bank.
Questions & Answers
Q.What percentage of MyTown's parent company has SM Investments acquired?
What percentage of MyTown's parent company has SM Investments acquired?
SM Investments has acquired a 62.21 per cent controlling stake in Philippines Urban Living Solutions Inc (PULS), the operator of dormitory buildings under the MyTown brand. This represents more than 674.8 million common shares.
Q.Why did SM Investments decide to acquire a controlling stake in PULS?
Why did SM Investments decide to acquire a controlling stake in PULS?
SM Investments made the acquisition to capitalise on growth opportunities within the dormitel segment. The company aims to benefit from the demand for rental housing communities among young professionals in Metro Manila.
Q.What is the primary target market for MyTown dormitory buildings?
What is the primary target market for MyTown dormitory buildings?
MyTown dormitory buildings are specifically aimed at young professionals. The facilities are located within walking distance of central business districts in Metro Manila, offering amenities and retail facilities to save tenants time and money.
Q.What kind of businesses does SM Investments typically operate in?
What kind of businesses does SM Investments typically operate in?
SM Investments is a conglomerate engaged in various sectors, including retail, property, and financial services. Its subsidiaries include major names like The SM Store, SM Supermarkets, SM Prime Holdings Inc, BDO Unibank, and China Bank.
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