City Savings Bank Inc., the thrift banking arm of Union Bank of the Philippines, will acquire the Isabela-based Philippine Resources Savings Bank to further widen its coverage nationwide.
City Savings said in a disclosure to the stock exchange it signed a share purchase agreement with the Ropali Group to acquire 100 percent of the common shares of PR Savings Bank.
“This acquisition will expand our mass market reach, consistent with our vision to promote inclusive growth in the country,” Union Bank president and incoming chief executive Edwin Bautista said in a statement.
The agreement was signed by Ropali Group chairman and founder Roberto Alingog and City Savings Bank chairman and Union Bank senior executive vice president Eugene Acevedo.
PR Savings Bank is a member of the Ropali Group of Companies, a mid-sized conglomerate that is a leading player in the motorcycle and agricultural machinery trade. The Isabela-based bank is the 14th largest thrift bank in the country with assets of P12.917 billion. It has 102 offices, mostly located in Luzon.
The bank is presently engaged in extending motorcycle, agri-machinery and teachers’ salary loans, serving over 131,000 borrowers, mostly from the mass market segment. The acquisition represents exciting new opportunities for City Savings to substantially expand its reach in Luzon as well as enter new market segments such as motorcycle and agri-machinery financing.
