The policy-making Monetary Board of the Bangko Sentral ng Pilipinas (BSP) made the formal approval for Asia United Bank to buy Asiatrust Development Bank.
Asia United Bank of the Rebisco group has finally inked a deal to take over the banking operations of thrift bank Asiatrust Development Bank, after two years of negotiations. Under the agreement, AUB will acquire the banking assets and assume the banking liabilities of Asiatrust without effecting any change in the latter’s shareholder base. The trust assets of Asiatrust, estimated at about P250 million, will be excluded from the takeover deal.
“The acquisition is in line with our aspiration to make AUB a stronger and more formidable banking industry player as we create synergies with Asiatrust,” AUB President Abraham T. Co was quoted as saying .
The deal will increase AUB’s resources by more than P4 billion and add 28 branches to its existing 74 branch network. As of end-2011, AUB assets totaled P50 billion while capital funds stood at P9 billion.