Asia United emerges from shadow of other banks

Fifteen years since its establishment, medium-sized commercial bank Asia United Bank is poised to become a more significant and formidable player in the local banking scene—one that has an extensive branch network, capable of going into non-banking allied ventures, and with shares that are traded publicly.

In a recent briefing, AUB president Abraham Co said that, over the last 15 years, AUB has been “trying to be a bank that is not under the shadow of the other bigger banks.”

AUB, Co said, means to “create a difference in the banking community.”

“We need to grow at this point, to be of relevance. And we already have the base, the system and the people to properly expand,” he added.

Co said AUB would seek an upgrade of its license to that of a universal bank by next year, while a stock market listing should be on the horizon in the next two years.

A unibank license will give the bank the authority to expand its businesses to non-allied undertakings, but it also requires a minimum public ownership of 10 percent.

In a briefing last week, top AUB officials reported that the bank had grown its nine-month net profit by 47.55 percent year on year to P1.04 billion, setting the bank on track to its full-year target of P1.6 billion.

“We have 108 branches as of today,” Co said during the briefing. “We’ll probably hit 115 by yearend and, hopefully, we’ll have more than 150 in two years’ time.”

AUB is owned by a group of Asian investors engaged in property development, manufacturing, and other equity ventures. Republic Biscuit Corporation (Rebisco), the Philippines’ leading manufacturer, distributor and exporter of snack food products, is the biggest shareholder of the bank.—Doris C. Dumlao