24 November 2022
Clifford Chance advises RCBC on investment by SMBC into RCBC in the Philippines
Leading international law firm Clifford Chance has advised Rizal Commercial Banking Corporation (RCBC) on the international aspects of the investment by Sumitomo Mitsui Banking Corporation (SMBC) into RCBC, which increases SMBC's stake in RCBC to 20%. The investment involves the sale by RCBC to SMBC of common stock held by RCBC in treasury as well as the subscription by SMBC of new common stock in RCBC for a total consideration of PHP27.13 billion (approximately US$460.78 million).
Singapore Managing Partner Valerie Kong, senior associate Ivan Chan, and trainee lawyer Danielle Sim advised RCBC on the deal. Romulo Mabanta Buenaventura Sayoc & de los Angeles advised RCBC on Philippine law aspects of the deal.
Valerie said, "We are delighted to advise RCBC on this landmark transaction, which represents not only the opportunities for digital banking and fintech in the Philippines' fast-growing economy, but also across South East Asia."
With over 400 branches nationwide, RCBC is a leading commercial bank in the Philippines, recognised for its digital banking and ESG initiatives. The investment by SMBC will enhance RCBC's digital plans, extend the reach of its Sustainable Finance Framework and expand its core business to key customer segments. The strategic investment by SMBC expands the Japanese bank's presence across South East Asia.