Banco de Oro files for initial public offering

Banco de Oro Universal Bank (BDO), a member of the SM group of companies, will finally push through with its initial public offering (IPO) in May this year.

BDO formally filed yesterday with the Philippine Stock Exchange (PSE) its application for public listing.

BDO started its operations as a universal bank in 1996 after the Bangko Sentral ng Pilipinas (BSP) granted its permit in late 1995.

BPI Capital Inc. will be the lead underwriter for BDO’s IPO.

The bank was listed among the top five banks in terms of growth in total resources including deposits and loans.

Its capital-to-asset risk (CAR) ratio stood at 21.96 percent, the highest in the industry, while its non-performing loans (NPLs) of 11.4 percent was better than the industry average of 17.4 percent.

In recent years, the bank has been involved in major structured securities deals and was one of the lead underwriters in the first 25-year bond of the government through its wholly-owned investment arm, BDO Capital and Investment Corp.

BDO grew significantly in 2001 when it merged with Dao Heng Bank Philippines Inc., a wholly owned subsidiary of Dao Heng Bank Ltd. of Singapore.

It has been rumored to be making a bid for First e-Bank, the commercial bank of the Metro Pacific Group which has been placed on the auction block. Bank officials, however, refused to confirm nor deny the reports.

The bank also entered into a joint venture agreement with Assicurazoni Generali S.p. A to form the Generali Pilipinas Life Assurance Co. and the Generali Pilipinas Insurance Co.