Conglomerate Ayala Corp. and Mitsubishi Corp. have entered into an investment agreement, with the Japanese multinational acquiring a 6.5% stake in e-wallet giant GCash.

In a stock exchange filing, Ayala announced the agreement, stating that Mitsubishi would subscribe to 18.03 million common and redeemable preferred shares of AC Ventures Holding Corp. (ACV) for at least ₱18.4 billion, The Philippine Star reported.

Following the transaction, Ayala and Mitsubishi will each hold a 50% ownership stake in ACV, which currently has a 13% stake in Globe Fintech Innovations Inc. (Mynt), the parent company of GCash.

The investment remains subject to conditions, including approval from the Securities and Exchange Commission for amendments to ACV’s articles of incorporation and clearance from the Philippine Competition Commission.

The proceeds from the subscription will be used to redeem Ayala’s redeemable preferred shares in ACV and cover related costs.

Ayala President and CEO, Cezar Consing expressed confidence in Mitsubishi’s contribution to Mynt, particularly in its international expansion.

“We believe Mitsubishi can add meaningful value to Mynt, which will allow Mynt to deliver significant value to its over 94 million registered users. It’s all about serving better the many Filipinos that depend on GCash and Fuse, and for making a wider variety of financial and other products available to as many Filipinos as possible,”

he said.

As Japan’s largest trading company, Mitsubishi is expected to support Mynt’s growth both overseas and within its extensive Japan-based ecosystem, particularly in areas such as cloud-based payments and new credit algorithms.

Featured image credit: edited from freepik