The Board of Directors of Union Bank of the Philippines has given the thumbs-up for the acquisition of the controlling stake in the Cebu-based City Savings Bank for P5.7 billion.
In a disclosure to the Philippine Stock Exchange yesterday, Unionbank SVP, corporate secretary and general counsel Fe Macalino said the shares will be bought from Aboitiz Equity Ventures, Inc., which along with its subsidiary Pilmico Foods Corp., owns 99.54 percent of CSB’s issued and capital stock.
AEV owns 59.54 percent of CSB’s total issued and outstanding shares as it totals to 116,262 while PFC owns 40 percent or 78,109 shares.
Unionbank is awaiting the approval of the central bank policy-making Monetary Board for this purchase.
The CSB shares acquisition by UBP is subject to a due diligence review and the foregoing regulatory approval. The transaction is expected to be consummated upon the issuance of the relevant regulatory approvals,” the statement added.*PNA