HSBC to buy PCIB for US$22m

HSBC to buy PCIB for US$22m

MANILA (AFP): Hongkong and Shanghai Banking Corp. Ltd. (HSBC) said Monday it would acquire PCIB Savings Bank of the Philippines for 1.1 billion pesos (US$22 million) in cash.

The bank, a unit of Equitable PCI Bank, has assets of 1.4 billion pesos and 16 branches around Manila, HSBC said in a statement.

The transaction was expected to be closed next month, with the bank to be renamed HSBC Savings Bank (Philippines) Inc.

It would operate as a separate entity from HSBC's commercial banking operations in the country, and focus on financial services to personal and middle-market customers.

"PCIB's branch network provides an excellent platform for us to expand our personal banking business," HSBC chairman David Eldon said.

HSBC got the greenlight last month to acquire the Philippine bank after more than three months of deliberations. HSBC is among the longest serving foreign banks in the Philippines.