Globe Telecom has moved forward with its acquisition of a 50% stake in AB Capital Securities Inc (ABCSI), aiming to strengthen the stock brokerage capabilities of its fintech unit, Mynt, which operates the widely used GCash mobile wallet.
According to the Philippine Daily Inquirer, the companies signed a definitive agreement for the acquisition in 2023.
Globe currently holds a 23.5% indirect stake in ABCSI through Mynt. It increased its shareholding in the brokerage firm to 16% last year after acquiring an additional 7.5%.
Notably, Globe independent director Antonio Periquet also serves as executive chair of ABCSI, a connection that could smooth the path for the acquisition.
“This partnership will bolster our shared mission of promoting financial inclusion by expanding stock ownership among Filipinos,” Periquet told the Inquirer.
He pointed out that while only 2% of Filipinos currently own stocks, a higher percentage already hold cryptocurrency - highlighting the opportunity for growth in retail investment.
The Inquirer also reported that the Philippine Stock Exchange credited GCash’s stock trading service with helping drive a 21% year-on-year increase in online stock market accounts in 2023, rising to 1.5 million, now accounting for 80% of total stock market accounts.
