THE Securities and Exchange Commission (SEC) has approved the merger of China Bank Savings Inc. (CBSI) and Planters Development Bank (PDB), with China Bank becoming the surviving corporation.
Both CBSI and PDB are subsidiaries of retail tycoon Henry Sy’s China Banking Corporation (China Bank), after PDB, established in 1072 by businessman Jesus Tambunting, became part of China Bank in 2014.
“As a result of the merger, CBSI and PDB shall become a single corporation, with CBSI as the surviving corporation,” China Bank said in a disclosure to the Philippine Stock Exchange on Monday.
As of end-2015, China Bank is operating a total of 517 branches, including 165 CBSI and Plantersbank branches.
Aside from the CBSI-Plantersbank merger, the SEC has also approved the appointment of some executives effective January 1, 2016.
The executives include Carlos M. Borromeo as senior vice president, chief financial officer, and head of financial statement segment; as well as lawyer Marissa B. Espino as co-vice president, chief compliance officer, and head of compliance office.
Maria Cristina C. Hernandez was also approved as co-vice president, head of treasury financial institution, under financial capital markets and investment segment.
In 2015, China Bank opened a total of 47 branches. For 2016, plans are up for opening 66 more branches—50 for China Bank and 16 for the consolidated CBSI network.
In the first nine months of 2015, China Bank’s net income rose by 8 percent to P3.64 billion, on track with its targets to grow profits by 10 percent by end-2015.
Established in 1920, China Bank is an affiliate bank of richest man in the Philippines, Henry Sy. It mainly caters to the small and medium enterprises (SME) market through subsidiaries CBS and Plantersbank. It also offers banking services to other markets—corporate, commercial, and retail.