Connect with us

Hi, what are you looking for?


CitySavings buys stake in Batangas-based thrift lender

CitySavings Bank

UNIONBANK of the Philippines, Inc. has acquired a majority stake in Batangas-based thrift lender Bangko Kabayan, Inc. (BK) through its own thrift unit, further expanding the Aboitiz group’s banking network.

UnionBank’s subsidiaries CitySavings Bank, Inc. and UBP Investment Corp. bought a combined 70% stake in the thrift bank — 49% for the former and 21% for the latter — making it a part of the group, the listed bank said in a statement on Wednesday.

“BK is a very well-run bank with a decades-long track record of success and service to SMEs (small- and medium-sized enterprises). We are excited to work with them to expand their business and reach,” CitySavings President and Chief Executive Officer Lorenzo T. Ocampo was quoted as saying.

The Batangas lender was established as Ibaan Rural Bank in 1957 and has grown to cover nearby Laguna and Quezon through its 24 branches that provide credit to small merchants and farmers.

“The bank’s focus on grassroots entrepreneurship is aligned with CitySavings’ overall strategy to strengthen its presence in the mass market segment. It hopes to combine its digital capabilities with BK’s foothold in Calabarzon to expand into the micro-, small- and medium-sized enterprise (MSME) business,” the statement said.

“Being part of the UnionBank group gives us access to digital banking solutions that will improve BK’s services with no need for a brick and mortar expansion. We look forward to the technological and capital support from CitySavings and UnionBank to level up BK’s capacity and reach out to more clients faster,” BK President Beatriz B. Romulo said.

CitySavings has 140 branches nationwide. In December, it raised P5 billion from its corporate note issuance to support its asset expansion.

Meanwhile, its parent UnionBank booked a lower net profit of P11.561 billion last year, down by 17.4% from P14 billion in 2019, as the bank increased its loan loss provisions due to the coronavirus crisis.

UnionBank’s shares ended trading at P72 apiece on Wednesday, down by P1.45 or by 1.97% from its previous close. — L.W.T. Noble

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!



KAI Sotto has taken his talents from Australia to Japan to play for the Hiroshima Dragonflies. The Dragonflies yesterday announced the signing of the...


AFTER a 17-year wait, Grandmaster (GM) Darwin Laylo is back on top as the country’s top chess player. The 42-year-old Mr. Laylo recalled the...


PHILIPPINE pool queen Rubilen Amit is far from calling it a career. But when the time comes, she hopes to leave a legacy not...


CAVITE Governor Jonvic Remulla will take the place of Samahang Basketbol ng Pilipinas (SBP) President Al Panlilio as the country’s chef-de-mission (CDM) to next...


THE PREMIER League (PL) has referred Manchester City to an independent commission over more than 100 alleged breaches of finance rules since the club...


PHOENIX Suns President and CEO Jason Rowley resigned Monday, hours before the team’s sale was officially approved by the National Basketball Association (NBA) Board...

You May Also Like


Browsing history makes referring to sites and pages you’ve visited in the past seamless. It’ll help you recall what page you checked out on...


The minute that any question pops into your head, you can simply ask Google. No longer do we have to pour over books and...


Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...


Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Disclaimer:, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.