UCPB bids to be opened Sept. 24

THE GOVERNMENT has pushed back to the fourth week of September the opening of bids for its controlling stake in United Coconut Planters Bank (UCPB).

Chief Privatization Officer Toni Angeli V. Coo told the Inquirer last week that the Privatization and Management Office (PMO) already informed interested parties that the highest bid would be announced on Sept. 24 instead of the original Sept. 18 schedule.

Coo explained that it was in line with moving to July 16 instead of June 30 the deadline for submission of prequalification documents, “due to requests of various bidders.”

The PMO last June 17 received 12 letters of intent from local and foreign banks as well as private equity firms seeking to buy UCPB, the country’s 12th biggest bank with more than 200 branches and about P260 billion in assets. These 12 entities are not yet considered prospective bidders until they submit the prequalification documents.

Coo pointed out that since those who had expressed interest in UCPB included foreign entities, it might take them a longer time to have their documents authenticated. The PMO chief noted that Philippine embassies must still confirm the authenticity of the authority of the notary public secured in a foreign country. “We took into consideration that there are foreign and non-banks interested to bid for UCPB,” she said.

The PMO also informed interested parties last week that they might bid for the controlling UCPB stake through a consortium, Coo disclosed.

She said the PMO still considered selling the government’s UCPB shares within the month of September, in line with their privatization schedule for the third quarter.

But the PMO chief clarified that they would respect the Supreme Court order stopping the implementation of the executive orders earlier issued by President Aquino with regards the coco levy fund, if ever it covered the plan to recapitalize the bank.

Read more...