Money

PCC approves Thai bank’s purchase of 50% of SB Finance

The Philippine Competition Commission has cleared the proposed acquisition by Bank of Ayudhya, the fifth largest financial group in Thailand, of 50% of Security Bank’s consumer finance business.

Upon review of the findings and recommendation of the mergers and acquisitions office, the antitrust body said the transaction would not likely result in substantial lessening of competition.

“This is because post-transaction, sufficient competitive constraints remain from other banking and non- banking financial institutions in the market for unsecured personal loans nationwide,” PCC said.

“Accordingly, the Commission resolves to take no further action with respect to the proposed transaction between Bank of Ayudhya and SB Finance,” it noted.

Bank of Ayudhya will purchase 7.08 million shares in SBF from Security Bank for around P1.8 billion.

SBF, the fifth largest consumer firm in the country, is engaged in financing and leasing for consumers in mass market segments.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.