Security Bank invests P11.6 billion for 25% stake in Home Credit

MANILA, Philippines — Security Bank Corp. has completed the acquisition of a 25-percent stake in consumer finance giant HC Consumer Finance Philippines Inc. (Home Credit Philippines) from its strategic partner MUFG Bank Ltd., in a deal valued at P11.6 billion.

In a disclosure to the Philippine Stock Exchange yesterday, Security Bank said it initially paid P10.37 billion on May 2 for the base price of the shares and settled an additional P1.23 billion adjustment on Aug. 28, bringing the total transaction value to P11.59 billion.

The purchase covers 19.06 million shares, consisting of 250,000 common shares, 16.31 million preferred shares and subscription rights to 2.5 million preferred shares. MUFG, which owns 20 percent of Security Bank, sold the shares as part of a broader partnership among the three financial institutions.

“This strategic investment allows Security Bank to enhance our involvement in the rapidly expanding consumer finance sector,” the bank said. “By doing so, we can unlock new opportunities to better address the evolving financial needs of Filipinos.”

Home Credit Philippines, a market leader in point-of-sale financing, serves more than 11 million customers nationwide through loans, cash advances and revolving credit products.

Security Bank said the investment is “income accretive,” meaning it would directly boost the lender’s earnings.

The bank expects the deal to strengthen its long-term growth strategy, accelerate innovation in consumer lending, and support financial inclusion efforts in the country.

“This landmark investment positions us strategically within the market, leveraging Home Credit’s extensive reach and expertise. It will contribute positively to our earnings and financial performance while enhancing our ability to serve Filipino consumers more effectively,” the bank added.

The transaction, approved by Security Bank’s board in November 2024, was completed following regulatory clearances and customary closing conditions.