The group secured a $100 million (P6 billion) sustainability-linked facility from DBS Bank, marking its first Singapore dollar-denominated hedged loan and giving it flexibility to borrow in either US dollars or Singapore dollars.
This also comes as the Philippine peso weakened against the US dollar to fresh lows this year, reviving concerns over currency volatility among Philippine borrowers. In contrast, the Singapore dollar has strengthened about 0.7 percent against the greenback since the start of 2026.
Diversification takes center stage
“This transaction strengthens Ayala’s ability to access diversified funding sources and widen reach of our partnership in the region. It reflects our disciplined approach to capital management and the continued integration of sustainability into our financial strategy,” said Estelito C. Biacora, executive director and treasurer of Ayala Corp.
DBS said the structure allows Ayala to choose between US dollar and Singapore dollar borrowing, giving the conglomerate wider access to Asian liquidity pools and added financing flexibility.
Sustainable financing push
Ayala said proceeds from the facility will help fund expansion across its core businesses while supporting the continued growth of its sustainability-focused portfolio.
The transaction also reflects rising demand for sustainability-linked financing structures as corporates seek longer-term capital tied to environmental, social, and governance goals.
As of end-2025, the Ayala group had secured about $6.9 billion in sustainable financing, underscoring continued investor appetite for ESG-linked Philippine corporate debt.
—Edited by Miguel R. Camus
