PVB beefs up capital
Philippine Veterans Bank (PVB), a commercial bank owned by Filipino World War II veterans and their heirs, plans to raise as much as P2 billion in fresh capital to boost its competitive footing in the banking industry.
In a recent stockholders meeting, PVB obtained approval to raise capital by at least P1.5 billion with an oversubscription option of around P500 million.
“The capital will be used to support the bank’s various business initiatives,” the bank said in a press statement on Friday.
Existing stockholders are encouraged to participate and will be given priority in this capital call.
PVB is owned by some 384,000 war veterans and their designated heirs.
As of end-September, PVB had over P50 billion in assets and 60 branches nationwide.
Charitable institutions that are financially supported by PVB provide free medical care and medicines to ailing and elderly veterans, based on its website.
Moreover, the bank gives veterans preferential treatment on their deposit and loan transactions.
The bank also gives preference in employing the children and grandchildren of war veterans.
“Given this opportunity to chart the destiny of their bank and knowing that the veterans are now in their twilight years and must continue enjoying their benefits, the PVB leadership has firmly resolved to continue establishing a solid reputation for growth and build the bank into a truly lasting legacy to the nation and succeeding generations,” the bank said in its website.
Industry sources said PVB was still evaluating whether the capital-raising would be in the form of preferred shares or additional tier 1 common stocks. The bank is targeting to launch the capital call by March 2018. —DORIS DUMLAO-ABADILLA
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