Philippine Bank of Communications said Wednesday it sold its majority stake in PBCom Rural Bank to Producers Savings Bank Corp. for more than P500 million.
PBCom, a universal bank now controlled by businessman Lucio Co, said the transaction involved the sale of 99.98-percent shareholdings in the rural bank for P555.8 million.
“The move was meant to consolidate the efforts and resources at PBCom level which has set as its strategy to focus on its core businesses and expand the market to the ecosystem of its principals,” the bank said.
Producers Bank which started operations in Nueva Ecija in 1995 now has 175 branches across the country. It is now chaired by former Land Bank of the Philippines president and chief executive Gilda Pico.
PBCom reported a net income of P382.6 million in the first quarter, up by 116 percent year-on-year as a result of strong interest and non-interest income.
Producers Bank earlier acquired ownership of the Rural Bank of San Quintin in Pangasinan as a part of its expansion program in the province.
Producers Bank acquired Rural Bank of Rosales in Pangasinan, New Rural Bank of Victorias in Negros Occidental, Iloilo City Development Bank, Rural Bank of Cainta Rizal, Rural Bank of Tayabas in Quezon, Tower Development Bank in Bulacan, Rural Bank of San Fabian in Pangasinan, Rural Bank of Bustos in Bulacan and Rural Bank of Sto. Domingo in Nueva Ecija. Darwin G. Amojelar
The company also acquired Rural Bank of Pamplona, Bangkok Rural ng Pascao, Bangkok Rural ng Magarao and Rural Bank in San Fernando in Camarines Sur, Rural Bank of President Quirino in Sultan Kudarat, Rural Bank of Barotac Nuevo in Iloilo and Rural Bank of Sibalom in Antique.
