PBCOM to Acquire Majority Stake in Banco Dipolog, Inc.
PBCOM President & CEO Nina D. Aguas (4th from left) with BDI President & Chairman of the Board Jude Martin Raymund Saguin (3rd from left) and BDI representatives Ma. Veronica Luisa Saguin, Pilar Luzuriaga Mendezona, Katrina Francesca Herrera, Maria Consuelo Mejia-Bruton and Fortunato Borromeo
DIPOLOG CITY, Philippines –The Philippine Bank of Communications (PBCOM) signed a memorandum of agreement with the Controlling Stockholders of Banco Dipolog, Inc. (BDI), a multi-branch rural bank headquartered in Dipolog City, Zamboanga del Norte, which will give PBCOM a majority stake in BDI, subject to BSP approval.
Founded in 1957, BDI was the first bank to open in Dipolog. It currently has 11 branches and 7 other banking offices located in Mindanao and the Visayas, and is set to open 2 more branches in the region by July 2014. BDI caters primarily to small entrepreneurs, educators, farmers and government employees. As of December 2013, BDI had over P1 Billion in total assets.
PBCOM President and CEO Nina D. Aguas said that PBCOM’s investment in BDI will allow PBCOM to strengthen its presence in Mindanao, while bringing BDI’s client base an expanded suite of products and services that PBCOM offers as a commercial bank.
In March of this year, PBCOM likewise announced its acquisition of the Rural Bank of Nagcarlan, a 6-branch bank based in Laguna.
“Expanding our footprint across the country through these acquisitions will allow us to contribute to the development and strengthening of communities nationwide,” Aguas added. “We are committed to strengthening our franchise in the SME banking space, and our acquisitions of these rural banks are key elements of our strategy.”
PBCOM recently reported a net income of P1.63 B for 2013, representing a 66% year on year increase. The bank achieved a return on equity of 38% for the year- one of the highest in the commercial banking industry.