BDO cleared to buy rural bank in Davao
Subscribe Now March 31, 2015 at 11:36am
“Please be advised that the Bangko Sentral ng Pilipinas has approved the acquisition by BDO Unibank Inc. of One Network Bank Inc.,” BDO said in a disclosure to the stock exchange Monday.
BDO signed an agreement in December 2014 to acquire ONB, a rural bank with 105 branches and micro-banking offices in Mindanao and Panay Island. ONB is majority-owned by the Consunji Group and is headed by Victor Consunji as chairman and Alex Buenaventura as president.
ONB had total assets of P28.1 billion, net loans of P19.7 billion and deposits of P17.9 billion as of end-September 2014.
BDO earlier said the addition of ONB to the BDO Group would give BDO access to new market segments in Mindanao and Panay Island, which were among the bank’s target growth areas.
ONB, formed in 2004 through the consolidation of Network Rural Bank of Davao del Sur, the Rural Bank of Panabo of Davao del Norte and the Provident Rural Bank of Cotabato, is the largest rural bank in the Philippines in terms of assets.
It has a branch in Makati City and a fleet of 135 automated teller machines in Mindanao, including in 17 localities where it is the sole provider of financial services.
“The combination of ONB’s regional presence and BDO’s financial muscle is seen to create new opportunities for growth. This partnership will enable ONB clients to access BDO’s strong balance sheet and expanded banking solutions, while providing BDO inroads to new market segments previously underserved by commercial banks,” BDO said in a previous statement.
It said the move was also in support of the Bangko Sentral’s thrust to promote inclusive banking through countryside branching and lending.
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