Producers Bank on continued acquisition mode

MANILA, Philippines — Producers Savings Bank continued its acquisition mode, completing the take-over of 19 banks across the country to bolster its assets sustain and profit growth via its branch network expansion.

It has completed the acquisition of Lucio Co’s Philippine Bank of Communications (PB Com) Rural Bank and Peoples Bank of Caraga Inc.

Andres Cornejo, president and chief executive officer of Producers Bank, said the acquisitions are part of the Producers Bank’s expansion program in the island of Mindanao.

Producers Bank, could be felt in Mindanao, with PBCom RB’s 26 and PB Caraga’s 33 branches and branch lite units located in different provinces in Mindanao, Cornejo said.

With the existing 190 branches of Producers Bank and branch network of the acquired banks combined, Cornejo said the bank now has a total of 250 branches nationwide.

Cornejo said the bank has been grabbing every opportunity to acquire banks via mergers and acquisitions to avail itself of incentives from the Bangko Sentral ng Pilipinas (BSP) and the Philippine Deposit Insurance Corp. (PDIC).

Producers Bank believes the acquisitions will further fasttrack its branch network expansion, resulting in sustained growth in assets and profits.

The scheme also helps the bank avail of various incentives and regulatory benefits from the BSP such as but not limited to additional branch licenses.

The government continues to provide incentives under the consolidation program for rural banks (CPRB) to encourage mergers and consolidations among small banks particularly rural banks to further strengthen and enhance the viability of the banking system.

Aside from PBCom Rural Bank and Peoples Bank of Caraga, other banks acquired by Producers Bank include Rural Bank of Rosales in Pangasinan, New Rural Bank of Victorias in Negros Occidental, Iloilo City Development Bank in Iloilo, Rural Bank of Cainta in Rizal, Rural Bank of Tayabas in Quezon, Tower Development Bank in Bulacan, Rural Bank of San Fabian in Pangasinan, Rural Bank of Bustos in Bulacan, Rural Bank of Sto. Domingo in Nueva Ecija and Rural Bank of Pamplona.

Producers Bank has also taken over Rural Bank of Pasacao, Rural Bank of Magarao, Rural Bank of San Fernando in Camarines Sur, Rural Bank of Pres. Quirino in Sultan Kudarat, Rural Bank of Sibalom in Antique, Rural Bank of Barotac Nuevo in Iloilo and Rural Bank of San Quintin in Pangasinan.