Philippines Newsletter - June 2025

Market summary

The Filipino deal landscape has been very dynamic in June 2025, with very notable acquisitions and fundraisings in the real estate & hospitality, finance and energy sectors.

• The real estate & hospitality sector saw the acquisition of famous New World Makati Hotel by Ayala Land Hospitality, a subsidiary of Ayala Land Inc, consolidating the position of the group within the hospitality sector in Metro Manila.
• The financial & fintech sector has also seen significative movement with the closing of a USD28m equity deal by Salmon Group as part of an ongoing USD88m debt and equity fundraising process, and a USD75m non-convertible debt facility secured by Cashalo from global private equity firm CIM.
• Lastly, the energy sector has witnessed significant transactions, with MGen Renewable Energy increasing its stake in Solar Philippines company by USD110m to secure control of major utility scale solar assets in the country, and Razon acquiring a controlling stake in First Gen’s gas-fired power assets for a whopping USD896m.

*Aggregate Deal Values = c. USD1.1bn

This month’s top deals

Real Estate

Ayala Land Hospitality acquires New World Makati Hotel

Ayala Land Hospitality, a subsidiary of Ayala Land Inc., completed the acquisition of the entire New World Makati Hotel on June 30, 2025. The deal marks a strategic consolidation of Ayala’s prime hospitality assets in the Makati CBD. While the valuation was undisclosed, the hotel has historically been a top-performing asset in Ayala's portfolio. The acquisition is expected to support yield optimization in its recurring income segment, with management continuity under the New World brand.

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Ayala Land, Inc. acquires New World Hotel Makati Manila Philippines

Financial Services

Salmon Group closes USD28 million equity funding round

Fintech lender Salmon Group closed a USD28 million equity financing round on June 17, backed by institutional and strategic investors. The raise is part of a broader USD88 million debt and equity package, supporting its expansion across consumer lending, POS financing, and eventually digital banking in the Philippines and Vietnam. The capital structure includes a previously announced USD60 million debt facility, emphasizing investor confidence in its regional lending model and balance sheet scalability.

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Salmon group raises USD88 million from latest funding round

Cashalo secures USD75 million non-convertible debt facility

Cashalo, a joint venture between JG Summit and Oriente, secured a USD75 million non-convertible debt facility from CIM. The June 16 transaction reinforces Oriente's ability to tap global debt markets amid growing demand for consumer credit in emerging Asia. Proceeds will be deployed toward enhancing AI-driven credit scoring models and scaling unsecured lending products across underserved demographics.

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Cashalo secures USD75 million non-convertible debt facility

Energy & Utilities

MGen Renewable Energy increases its stake in SP New Energy Corp. by USD110 million

On June 25, MGen Renewable Energy Inc. (a Meralco subsidiary) entered into a USD110.15 million share purchase transaction to acquire a further 5.01 billion SPNEC shares from Solar Philippines founder Leandro Leviste. Structured as an exchangeable note, the deal will increase MGen’s stake to 60.9%. The transaction consolidates control of the 3.5 GW Terra Solar project, the country’s largest solar energy pipeline, enhancing MGen's renewable portfolio ahead of its potential listing.

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MGen Renewable Energy increases its stake in SP New Energy Corp. by USD110 million

Razon acquires 60% stake in SP New Energy Corporation's gas-fired power assets for USD896 million

Enrique Razon’s Prime Infrastructure Capital announced the acquisition of a 60% stake in First Gen’s gas-fired power assets for USD896 million (PHP50 billion) on June 2. The assets include Santa Rita and San Lorenzo plants in Batangas, pivotal to grid stability amid the Philippines’ energy transition. The partial divestment allows First Gen to redeploy capital into its 4x renewables capacity expansion plan by 2030, aligning with global decarbonization trends.

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Razon acquires 60% stake in SP New Energy Corporation's gas-fired power assets for USD896 million

Infrastructure

Web3 startup Shards Protocol raises USD2 million in pre seed round

On June 4, Filipino-founded Web3 startup Shards Protocol raised USD2 million in a pre-seed round led by Animoca Brands, Kyber Ventures, and Yield Guild Games. The protocol is building a decentralized reputation infrastructure for Web3 applications, aimed at standardizing digital identity across DeFi, gaming, and social finance. While early-stage, the cap table reflects strong institutional alignment in the APAC blockchain ecosystem.

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Web3 startup Shards Protocol raises USD2 million in pre seed round

Note: Deal values only include disclosed completed deals with amounts restricted to local scene i.e. amounts related to the Philippine entity and/or business. Rumored, announced, or planned deals not included. Cross-posted deals are also adjusted to avoid double count.

*USD 1.00 = PHP56.5561 as of 07/09/2025