BDO finally completes sale of 15% ONB stake

BDO Unibank Inc., the country’s largest lender in terms of assets and controlled by the Sy family, finally completed the sale of a 15-percent equity stake in rural bank unit One Network Bank Inc. to Osmanthus Investment Holdings Pte. Ltd.

Osmanthus is a unit of Singapore-based private equity firm Archipelago Capital Partners Pte. Ltd. that invests in small to mid-market companies in Southeast Asia.

“... We inform the exchange that on May 16, 2019, BDO Unibank Inc. completed its transaction with Osmanthus Investment Holdings Pte. Ltd. for the acquisition by Osmanthus of a 15-percent equity stake in One Network Bank Inc.,” the bank disclosed to the stock exchange Friday.

BDO in October 2018 told the exchange it was about to sell a 15-percent stake in One Network to Osmanthus.

BDO earlier signed an agreement with Osmanthus in which the Sy-led bank would retain 85-percent ownership of ONB.

In partnering with Osmanthus, BDO said the latter would help One Network in developing the framework for its MSME lending business.

It said the partnership with Osmanthus would further strengthen ONB’s strategic foothold in the micro-finance business and contribute to the government’s efforts in improving financial inclusion. 

Archipelago Capital Partners Pte. Ltd. is managed by former McKinsey and banking professionals, led by chief executive Jovasky Pang, who has an extensive experience in micro-finance in Asia. Julito G. Rada

Pang was previously involved in expanding BOC Fullerton Community Bank into the biggest village bank group in China and also headed the SME and commercial  business of Bank Danamon Indonesia. 

Pang earlier said he believed in the vast potential of the MSME market in the Philippines, adding Osmanthus was committed to help ONB achieve a leading position in serving these customers.

BDO in 2015 completed the acquisition of One Network Bank Inc., the largest rural bank in the country, through a share-swap deal. 

BDO acquired 99.59 percent of the outstanding capital stock of ONB. BDO as payment crossed 64,499,890 listed common shares in favor of the selling shareholders of ONB and issued an equal number of new shares from its unissued capital stock in a top-up and borrowing transaction with a substantial BDO shareholder.

ONB is one of the biggest rural banks in the country. It has 105 branches and micro-banking offices in Mindanao and Panay. BDO’s acquisition of ONB was first disclosed to the public on Dec. 23, 2014. ONB was majority-owned by the Consunji Group. Julito G. Rada

Topics: BDO Unibank Inc. , One Network Bank Inc. , Osmanthus Investment Holdings Pte. Ltd.
COMMENT DISCLAIMER: Reader comments posted on this Web site are not in any way endorsed by Manila Standard. Comments are views by readers who exercise their right to free expression and they do not necessarily represent or reflect the position or viewpoint of While reserving this publication’s right to delete comments that are deemed offensive, indecent or inconsistent with Manila Standard editorial standards, Manila Standard may not be held liable for any false information posted by readers in this comments section.