MANILA, Philippines —The Asia United Bank Corp., the banking unit of Filipino-Chinese businessman Jack Ng, has inked a deal to acquire the banking operations of Asiatrust Development Bank.
The transaction, which is targeted to be completed within the first half of 2012, excludes the trust business of Asiatrust. AUB will acquire the banking assets and assume the banking liabilities of Asiatrust.
“The acquisition of the Asiatrust banking business will allow us to deliver the AUB brand of service commitment and excellence to more clients within a short period of time,” AUB president Abraham Co said in a press statement on Wednesday.
“We are happy to entrust our customers to a strong, highly profitable and growing bank, which has a proven track record in operational integration and is at the forefront of enhancing customer service experience. We will work closely with AUB towards a smooth transition,” said AUB president Abraham Co.
Asiatrust president Dionisio Ong said the integration of Asiatrust into AUB would allow Asiatrist’s customers to access a wider distribution network and more product offerings.
AUB, along with another interested bidder, Banco de Oro had been in talks to take over Asiatrust since 2010. AUB is led by Ng, an industrialist who also owns the Rebisco biscuit group.
But instead of buying the shares of stocks held by the Asiatrust’s shareholders, AUB is acquiring the bank’s operations.
ING Bank NV is acting as financial advisor to Asiatrust on this transaction.