PlantersBank takes over Region Bank

Planters Development Bank (PlantersBank), the country’s largest private development bank, takes over Region Bank effective today, Oct. 1, 2003, following the approval of Bangko Sentral ng Pilipinas and the Philippine Deposit Insurance Corp.

Region Bank, also known as Los Baños Rural Bank, was the largest rural bank in the country with total resources of P1.6 billion and a network of 11 branches in Laguna, Batangas and Muntinlupa.

Founded by two former deans of the University of the Philippines’ College of Agriculture, namely Dioscoro L. Umali and Francisco O. Santos, Los Baños Rural Bank started operations in February 1960.

PlantersBank chairman and CEO Ambassador Jesus P. Tambunting said the acquisition will allow the bank to increase its branch network and depositor base. "We will definitely take full advantage of Region Bank’s access to the entrepreneurs to expand our reach in areas where there is a strong presence of SMEs," Tambunting said.

"This opportunity could come at no better time, as we undertake the expansion of capabilities of our branches to market not only loans and deposits, but also cash management services, Internet-based solutions for SMEs and other value-added services," he added.

Plantersbank’s focus on SME financing has established it as a model for other Asian financial institutions.

As a result of the acquisition, Plantersbank will now have a nationwide network of 71 branches, total consolidated assets of P27 billion and capital of P2.7 billion. This makes Plantersbank the 23rd largest banking institution among 41 universal and commercial baks, 93 thrift banks, and 772 rural banks.