From humble beginnings come great developments

The following is a timeline of the rise of the SM Group from a simple shoe store that many students and parents flock to during school openings to the regional empire it is now:

1936

Coming from humble beginnings and based in China, a 12-year-old Henry Sy traveled to the Philippines in 1936, setting out alone on the new voyage that would change his life.

1948

During postwar Philippines. Mr Sy sought a better life for himself, for his family, and for his community by selling a good pair of shoes to every Filipino. He traded different merchandise then ventured into selling shoes he purchased abroad. He started out in small community stores called sari-sari stores, but quickly developed into buying-and-selling, and built partnerships with a few shoe stores.

1949

During the Japanese occupation in 1942, his father’s store burned down and another was looted. Devastated, his father returned to China after the war, but Mr. Sy chose to stay in the Philippines. In the smoldering ruins of Manila, he foresaw that shoes would be in big demand. He sold surplus G.I. boots which led him to open his first Shoemart. But in order to grow his business, he needed more capital.

Mr Sy’s first capital came in the form of a PHP1 million loan from China Bank in 1949, his first credit line.

1958

He established the first Shoemart on Rizal Avenue, Downtown Manila, which eventually became SM and was meant to be a chain of shoe stores.

1963

Mr. Sy saw the potential in Makati and opened ShoeMart in Makati Commercial Center.

1972

The ShoeMart store evolved into a full-blown department store, selling not only footwear but a variety of fashion wear taking note of international trends. ShoeMart Manila in Calle Echague was transformed into the first department store.

1976

With the success of its department stores, Mr. Sy knew the importance of looking after the welfare of suppliers. To provide better cash management to suppliers and contractors, Mr. Sy acquired Acme Savings Bank later renamed as Banco de Oro Savings and Mortgage Bank.

1979

Mr. Sy bought 5 percent in China Bank, seeing this investment as a strategic business opportunity. China Bank was among the first local banks listed on the Manila Stock Exchange in 1927.

1980-1984

Despite ongoing political and economic challenges, there was marked growth in SM as new department stores opened in Cubao, Quezon City and Harrison in Manila.

1983

Mr. Henry and Mrs. Felicidad Sy established SM Foundation Inc., the philanthropic arm of SM Group of Companies which stems from the principle that business growth and social development go hand in hand.

The Foundation is committed to serve by supporting and empowering its host communities through education, healthcare, shelter, disaster response, farmer’s training, environmental programs and care for persons with special needs.

The SM Scholarship Program has a long history of supporting deserving students from underprivileged backgrounds. This emphasis on a holistic student experience underscores the foundation’s commitment to nurturing the next generation of Filipino leaders. To date there are over 4,200 scholars of which 70 scholars are working with the SM group.

The Foundation also helped improve the quality of universal healthcare by renovating public health facilities. To address the immediate medical needs, SM Foundation conducts medical and diagnostic missions nationwide.

Long before the issue of food security rose to the forefront, Mr. Sy, created a program to help farmers learn progressive farming techniques to help farmers provide food on the table, address undernourishment, and have other sources of income.

1985

The natural progression of store to mall happened when Mr. Sy opened his first mall on EDSA in November 1985. SM North EDSA, a 125,000 square meter-mall, opened at a time when the country was plunged into one of the most turbulent periods of political history.

SM Supermarket also became one of the anchor stores in SM North EDSA alongside SM Department Store.

1988

Taal Vista Hotel in Tagaytay was acquired by Mr. Sy as he saw the large potential in the tourism industry in the country.

1991-1993

The 1990s could be characterized as the start of the malling phenomenon as SM built one new mall after another. SM opened SM City Sta. Mesa in 1990, SM Megamall in 1991 and SM City Cebu, its first provincial mall in Visayas in 1993.

In 1992, SM Megamall launched the country’s first indoor Olympic size ice skating rink, a breakthrough in a tropical country.

By end October 2024, SM will have a total of 87 shopping malls throughout the Philippines.

1994

SM Prime Holdings, Inc. was incorporated to become the vehicle for SM’s mall operations and SM Prime shares were listed in 1994. This was to enhance its local and international shareholders and its corporate governance. At the same time, it widened SM’s funding options and growth potential.

1995

SM opened the neighborhood store, Savemore Market, in Riverbank Center, Marikina, to bring SM closer to its customers.

2001

SM’s first mall in China opened in Xiamen with a gross floor area (GFA) of 128,000 square meters (sqm.). Today, there are eight SM malls located in various cities in China.

2002

BDO listed its shares on the Philippine Stock Exchange on 21 May 2002.

2003

SM Development Corporation, SM’s property developer, unveiled its maiden condominium project, the Chateau Elysee in Bicutan, Paranaque, marking its foray into the residential space.

2005

SM Investments’ shares were publicly listed, raising over USD500 million and was considered the largest initial public offering at that time.

2006

SM Mall of Asia, SM Prime’s flagship and the country’s largest mall back then, was opened fronting the scenic Manila Bay in Pasay City. The mall was the anchor development in the 60-hectare reclaimed property now known as the Mall of Asia Complex.

2007

SM launched Hamilo Coast, a large-scale eco-tourism project in Batangas.

SM Hotels was also organized to oversee various hotel investments of the group in line with the SM’s tourism initiatives.

SM Prime acquires three projects in China --Xiamen, JinJiang and Chengdu. The move allowed SM Prime gain a foothold in China’s fast-growing economy for long-term growth outside of the Philippines.

BDO Unibank merged with Equitable PCI in 2007. Eventually BDO would become the largest bank in the country.

2008

SM acquired majority ownership of National University.

2010

SM Hotels and Conventions Corp opened Radisson Blu in Cebu.

2011

SM Investments becomes a major shareholder in Atlas Mining and Development Corporation.

2012

The Mall of Asia Arena opened with a two-day concert of five-time Grammy Award winner Lady Gaga.

SM Convention Center (SMX), the country’s newest, largest exhibition and convention center was launched.

2013

SM Prime Holdings announced a landmark merger of all SM’s property assets to create a company that holds interests in malls, residences (under SM Development Corporation), offices, hotels and convention centers (SM Hotels and Conventions Corp.) as well as leisure-related developments (Costa del Hamilo, Inc.). The merger resulted in the creation of one of the largest property conglomerates by market capitalization in the country and Southeast Asia.

In 2013, NEO, the developer of top certified green buildings in Bonifacio Global City in Taguig, formed a partnership with SM Investments.

2014

Alfamart, a joint venture between SM and Indonesia’s PT Sumber Alfaria Trijaya Tbk, opened its first store in 2014 in Trece Martires, Cavite, introducing its unique Super Minimart concept.

China Bank acquired Planters Development Bank to further expand its presence among micro, small and medium enterprises.

2015

SM Prime opens SM Seaside City Cebu, the anchor development in the 30-hectare integrated property on reclaimed land in that province. SM Seaside Cebu, with a gross floorplate of 430,000 square meters is envisioned to be a premier destination in the Visayas and Mindanao regions.

2016

SM Investments Corporation announced the merger of its retail arm, SM Retail Inc. (SM Retail) with several related retail companies that will include a diverse portfolio of food, household appliances, DIY, furniture, apparel, footwear, pharmaceuticals/cosmetics and specialty retailing stores.

SM Prime opened SM City Tianjin, the newest landmark within the Tianjin Airport Economic Area and within the largest free trade zone in Northern China.

Conrad Manila makes its debut in the Philippines at the Mall of Asia Complex, owned by SM Hotels and Conventions Corp. and managed by Hilton Worldwide.

2021

SM Investments completes its acquisition into 2GO Group, Inc., increasing its stake to 52.85 percent in the company, reflecting SM’s support of economic revival through logistics and tourism industries.

SM Investments also approved the acquisition of Goldilocks Bakeshop, increasing its shares to 74 percent.

2022

SM Investments completes the acquisition of Philippine Geothermal Production Company resulting in full ownership of the geothermal producer. The acquisition reinforces SM’s commitment to sustainability by investing in renewable or clean energy.

These investments outside of SM’s core businesses are adding incremental growth to the SM parent company above the already aggressive performance of the core businesses namely, retail, property and banking.

2024

SM Investments successfully priced a $500 million drawdown from its $3 billion multi-issuer Euro Medium-Term Notes (EMTN) program established in May this year.

The issuance was 3.2x times oversubscribed, reflecting investor confidence in the company.