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Ayala’s BPI and Gokongwei-Led Robinsons Bank to Complete Merger by 2023

The Ayala-led Bank of the Philippine Islands (BPI) has inked a deal for a merger with the Gokongwei-led Robinsons Bank Corporation (RBC).

According to CNN Philippines, both entities are aiming to finalise the merger before the end of 2023 as they they seek the approval of the Philippine Competition Commission, the Bangko Sentral ng Pilipinas (BSP), the Philippine Deposit Insurance Corp. and the Securities and Exchange Commission.

Through this merger agreement, the Gokongwei Group will take on a six percent stake in BPI worth approximately PHP 25.8 billion as well as a place on the bank’s board of directors held by a non-family executive.

The banks are looking to expand their range of banking products and services by leveraging on the ecosystems of both the Gokongwei and Ayala Groups.

Jose Teodoro (“TG”) Limcaoco

Jose Teodoro (“TG”) Limcaoco, President and CEO of BPI said,

“We are excited about this transaction and believe that this merger exemplifies BPI’s strategic effort to expand its client base, accelerate growth, and ultimately increase shareholder value through partnerships with the Gokongwei Group. We plan to effect a smooth transition and integration of RBC and its customers into BPI.

Together, we aim to maintain quality banking services and offer additional best-in-class and innovative products to our expanded client base. We are also keen on strengthening our ties with the Gokongwei Group even more through various collaboration opportunities across the Gokongwei Group’s vast ecosystem.”

Robina Gokongwei-Pe

Robina Gokongwei-Pe, President and CEO of Robinsons Retail said,

“Retailing has always had a close relationship with banking in many markets around the world, and especially here in the Philippines. This is because of the breadth of services it offers to its customers, coupled with its broad and rich eco-system of suppliers and business partners, that need banking services to grow and thrive.

This is what we believe this merger between BPI and Robinsons Bank will bring — the coming together of the innovativeness of Robinsons Bank, the scale and breadth of BPI, and the retail and commercial eco-system of both the Gokongwei Group and the Ayala Group.”