The Philippines' central bank approved a merger of Philippine Business Bank Inc. and Insular Savers Bank Inc., with the former being the surviving entity.
Under the deal, Philippine Business Bank will acquire all of the outstanding shares of Insular Savers Bank for 575 million pesos, according to a Jan. 7 release.
The merger will add approximately 10% to Philippine Business Bank's bottom line. The bank said the merger would enable it to further strengthen its consumer lending business, while establishing a foothold in the microfinance market.
The merger is subject to approval from the country's Securities and Exchange Commission.
As of Jan. 7, US$1 was equivalent to 52.44 Philippine pesos.