Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

SM Prime Leads Philippine Stock Jump on China Mall: Manila Mover

Don't Miss Out —
Follow us on:

Dec. 19 (Bloomberg) -- SM Prime Holdings Inc., the largest Philippine mall operator, rallied the most in six months in Manila stock trading after Chief Financial Officer Jeffrey Lim said its fifth shopping center in China is 80 percent occupied.

SM Prime shares jumped 5.3 percent to 15.96 pesos in Manila, the steepest gain since June 18. SM Investments Corp., parent of SM Prime, climbed 2.5 percent to 850 pesos, the highest close since Dec. 13. The two stocks accounted for almost a quarter of the 2.1 percent gain in the benchmark Philippine Stock Exchange Index.

The company’s SM City Chongqing mall has been attracting 50,000 customers a day since it opened on Dec. 14 and will reach full occupancy in a year, Lim said in a mobile-phone text message. SM Prime plans to open two more shopping centers in China in 2014, according to the company’s website. Chinese corporate earnings may climb as much as 10 percent next year, with companies benefiting from domestic consumption posting even greater growth, Russell Investments said yesterday.

“The gestation period for SM Prime malls in China is longer than in the Philippines, so it’s good and important to have a high occupancy rate from the start,” Richard Laneda, an analyst at COL Financial Group Inc., said by phone today. Laneda has a buy rating on the stock with a 12-month price target of 17 pesos.

Manila-based SM Prime has 51 malls in China and the Philippines with a combined gross floor area of 6.3 million square meters (68 million square feet). The company opened six malls this year.

“China is a very promising market,” Laneda said. “SM Prime malls operating there for more than five years have margins that are comparable with the Philippines.”

To contact the reporter on this story: Ian Sayson in Manila at isayson@bloomberg.net

To contact the editor responsible for this story: Darren Boey at dboey@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.