Wealthbank set to open 5 more branches in Cebu

Gaisano-led Wealth Development Bank (Wealthbank) is going to add five more branches starting 2008, following the approval of Bangko Sentral Ng Pilipinas (BSP) to expand its branch network in Cebu.

In an interview, Wealthbank chief operating officer and executive vice president Danilo A. Quinto said that the banking arm of the Metro Gaisano group will simultaneously start the construction of five branches starting January 2008, while two branches will opened in other provinces like in Iloilo and Davao.

He said BSP has given the bank six months to complete the expansion plan. “Our target is to open the five branches by June next year,” he added.

The bank’s holding company, Vicsal Development Corporation around P19 million as additional capital infusion for this particular expansion, he said.

The P19 million capital infusion already included the P15 million theoretical capital requirement per bank branch in Davao and Cebu and P5 million in Iloilo.

Two of the additional branches will be situated in the northern and southern part of Tabunoc, Talisay, Banilad and Talamban.

To date, Wealthbank has created presence in the Cebu Business Park (CBP) area, in Carbon market, and in the mid-town district located on Ramos Street.

Quintos added that as soon as the bank completes its additional five branches project, the bank is considering applying with BSP for another five additional branches that will be situated in Metro Manila.

BSP recently lifted its restriction for thrift banks to open branches in Metro Manila, and the capital region.

“This is in line with our thrust to establish our presence nationwide. We will put up physical presence where there are Metro Gaisano branches,” he said.

The Metro Gaisano chain has already established its presence in Luzon, as an anchor store of Ayala’s Market!Market! shopping mall in Taguig, in Legaspi City and Lucena City.

Quintos added that the bank is also expanding its ATM (Automated Teller Machine) network to complement the bank’s growing physical presence.

He said Wealthbank has ongoing negotiations with two ATM providers in the country to pursue this plan.

       Vicsal Development Corp. is the bank’s majority shareholder while its equity partners are the Development Bank of the Philippines and the Land Bank of the Philippines.

       Wealthbank, formerly Danao City Development Bank (DCDB), was established in 1966. In 2001, the BSP and the Securities and Exchange Commission approved the acquisition of DCDB by the Metro Gaisano group with its authorized capital increased to half billion pesos. – Ehda M. Dagooc