In a strategic move reflecting Daiwa Securities Group’s commitment to the Philippine market, Japan’s second-largest securities brokerage has increased its stake in bilyonaryo Edward Lee’s COL Financial.
This development comes as Daiwa winds down the operations of DBP-Daiwa Capital Markets Philippines Inc., signaling a shift in focus towards its key partnership with COL Financial.
Since its initial investment of 14.9% in 2017, Daiwa has raised its ownership stake in COL to approximately 16 or 17%. This strategic maneuver elevates COL to the status of an equity-method affiliate within the Daiwa Securities Group, cementing their collaborative ties.
The move aligns with Daiwa’s strategic objectives, aimed at optimizing its operations and continuing to deliver top-tier equity brokerage and research services in the Philippine market.
This strategic alignment positions Daiwa to leverage the anticipated growth opportunities within the Philippine economy.
In accordance with local regulatory requirements, Daiwa announced its decision to dissolve and liquidate DBP-Daiwa, pledging to sustain its fruitful relationships with key shareholders, including the Development Bank of the Philippines and the Yuchengco Group of Companies.
Seiji Nakata, president and CEO of Daiwa Securities, highlighted the importance of this partnership within Daiwa’s broader Asian expansion strategy.
“Business expansion in Asia is an important element for the strategy of Daiwa Securities Group. The Philippines is positioned as a strategically important country, which is expected to grow in the long run with a solid base established through the relationship with partners. COL is the leading and most trusted online stockbroker in the Philippines and is providing optimal solutions to many customers. Through the partnership, I’m pleased that Daiwa Securities Group will be able to offer business opportunities with COL in substantially growing the Philippines market,” he said.
Lee, chairman and founder of COL Financial, expressed enthusiasm for the expanded partnership, stating, “COL’s business has always been rooted in empowering our customers—we want to help people improve their lives through the power of investing. This is who we are as a company, and it gives us great pleasure to expand our partnership with Daiwa Securities, whose values and vision are aligned with ours. With this strategic alliance, we look forward to expanding our global product offerings using Daiwa’s platform, as well as creating new opportunities that will benefit Filipino investors.”
Daiwa’s expanded investment signals the firm’s recognition of the attractiveness and long-term potential of the Philippine market, solidifying its position as a key player in the evolving financial landscape of the country.