BIZ BUZZ: Equity partners powerhouse

Institutional stock brokerage Philippine Equity Partners Inc. (PEP), which has a consistently enviable ranking among independent and locally owned brokerage houses, emerged as the top broker in the local stock market in 2022, based on value turnover.

Recall that in 2016, Lorenzo Andres “Randy” Roxas bought into the brokerage house after bowing out as chair and president of Maybank ATR Kim Eng Securities.

PEP itself was formed in 2001 following the management buyout of shares in the Philippine unit of Merrill Lynch. To date, PEP still handles trade execution and issues co-branded research for BofA Securities.

Now it seems that Roxas and his PEP squad are not content with just being the top broker in this part of the world. We heard that talks are ongoing with investment banking veterans Luis “Buboy” Virata and Danny Feliciano for what could be a formidable investment banking joint venture.

Both groups have a history of success in their respective fields and are led by experienced bankers/brokers. And even without any affiliation with each other yet, their respective corporate names already sound similar!

Virata and Feliciano’s firm, Exchange Equity Partners Group Corp. (EEPG), specializes in mergers and acquisitions (M&As), capital markets and corporate finance advisory services.

The principals of EEPG have founded and led two of the leading international investment banks in the Philippines, namely Jardine Fleming Exchange Capital Group, Inc. (1991–2002) and CLSA Exchange Capital Inc. (2002–2019). Since 1991, they have advised on nearly $11 billion worth of M&As, joint venture and advisory transactions, and acted as bookrunner for 72 equity and equity-related transactions, raising over $8.3 billion for the leading Philippine corporations, based on its website.

When capital market veterans become equity partners, combined resources will hopefully lead to a bigger pipeline of deals executed professionally. As PEP still has its partnership with BofA, the prospective venture seems to complement BofA’s transactions in the Philippines.

—Doris Dumlao-Abadilla

New DBP chief

State-controlled Development Bank of the Philippines will have a new chief in the next few days.

President Marcos has picked veteran banker Michael Osmena De Jesus as “acting” president and CEO of Development Bank of the Philippines, based on a document seen by Biz Buzz.

The appointment of De Jesus—which does not come as a surprise as his name has floated in the rumor mill for months—was affirmed with the signing of his appointment papers dated Jan. 6.

He is expected to take his oath of office, along with new board appointees, in the coming days.

He will succeed Emmanuel Herbosa, an appointee of former President Rodrigo Duterte.

De Jesus retired as executive vice president and head of corporate banking group at Rizal Commercial Banking Corp. in mid-2019.

He holds a Bachelor of Arts degree in Economics from Union College in Schenectady, New York, and a Masters in Business Administration (Finance) from Wharton School, University of Pennsylvania.

Most notably, he is the significant other of Gloria Diaz, Miss Universe 1969 and the first Filipina to bag this title.

The only baffling detail in his appointment paper is the qualifier that De Jesus will just be “acting” president/CEO. This operative word suggests so many permutations.

—Doris Dumlao-Abadilla INQ

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