Pasay—(PHStocks)—SM Investments Corp. (PSE: SM) reported today that the company has obtained the approval of the Securities and Exchange Commission for the merger of Sy family-owned specialty stores into SM Retail Inc. Under the terms of the deal, over 1,300 retail outlets will be folded into SM Retail in exchange for shares of stock in SM Retail’s expanded net assets.
To be merged with SM Retail’s food and department stores are a wide ranging portfolio of leading local brands such as Ace Hardware, Watsons, Toy Kingdom, SM Appliances, Our Home, Baby Company, Kultura, Sports Central, Pet Express and other specialty retailers.
The merger is seen to be both value and earnings accretive given the stores’ competitive position, synergies with SM Supermalls and strong growth potential.
Macquarie Capital was the appointed advisor of SM Investments for the merger.