Bancommerce readies for entry of new majority owner CIMB

MANILA, Philippines - Bank of Commerce is all set for the entry of its new majority owner, CIMB Bank Bhd, according to a top bank official.

Incoming Bancommerce president Simeon Paterno, in a chance interview with The STAR, said “We will start everything by the first quarter.”

Paterno said they have completed all the necessary regulatory approvals for the purchase of majority shares by the Malaysian investor.

“We have gotten all the approvals. We are set to go,” he said.

Late last month, the Monetary Board of the Bangko Sentral ng Pilipinas approved the proposed acquisition.

With the MB approval, CIMB may now complete its purchase of nearly 60-percent controlling stake in the medium-sized lender.

Also in November, Bank Negara Malaysia, the BSP counterpart in Malaysia, gave its corresponding approval to the acquisition.

CIMB is the second largest bank in Malaysia. It has presence in the Association of South East Asian Nations (ASEAN), except Laos and Myanmar.

Earlier, San Miguel Corp. (SMC), which used to own a majority stake in Bancommerce, said they are looking forward to the entry of the CIMB as this may open opportunities for the highly-diversified conglomerate to explore financial services business in the international front.

Based in Kuala Lumpur, CIMB is currently in eight out of 10 ASEAN nations (Malaysia, Indonesia, Thailand, Singapore, Cambodia, Brunei, Vietnam and Myanmar).

The group also has market presence in China, Hong Kong, Bahrain, India, Sri Lanka, the US and UK. As of end-2011, it has the largest branch network in ASEAN with over 1,100 branches.

In May this year, Bancommerce signed a 58 percent sale purchase agreement with CIMB Bank, San Miguel Properties Inc., the San Miguel Corp. Retirement Plan, Q Tech Alliance Holdings Inc. and various minority shareholders.

SMC Retirement Plan will remain the bank’s largest minority shareholder with a 27 percent stake.