UnionBank Invests PHP300M More in Digital Bank to Fuel Growth
by Fintech News Philippines October 19, 2023Union Bank of the Philippines has invested an additional PHP 300 million into the UnionDigital Bank following the PHP 900 million funding in July this year, according to PhilStar Global.
The bank had disclosed to the Philippine Stock Exchange of the investment from its stock rights offering (SRO) revenues.
Following the SRO held in February, UnionBank had allocated PHP900 million in government bonds but later decided to redirect PHP300 million to UnionDigital Bank on 29 September.
The change was intended to support the digital bank’s continued expansion plans. Having launched its services last year, UnionDigital Bank managed to acquire 1.73 million customers in its first four months of its operations.
UnionDigital Bank reported that it had recorded net profits in the first quarter of 2023, driven by its ecosystem-led business model.
