Tuesday, November 28, 2006 Local bank to stay independent
While several banks are keen on buying out distressed banks or merging with local ones that are trying to increase their capitalization, a private domestic local bank is unlikely to do so.
“We position the bank as a niche player. We will remain an independent player,” said Security Bank Corp. (SBC) president and chief executive officer Alberto Villarosa.
However, Villarosa said the bank has previously considered merging with a commercial bank but plans did not succeed.
Villarosa told reporters that should SBC plan to consolidate with other banks “it should mean an increase in shareholder value enhancement.”
Complement
According to SBC chief financial officer Carlos Borromeo, SBC may acquire or partner with savings banks that have strong small and medium enterprises-clientele based and consumer-lending activities.
“For as long as they complement us, then we are open to anything,” Borro-meo said.
He added forging partnerships “does not have to be solely Filipino.”
“We form strategic alliance with foreign institutions that we know will bring us a competitive advantage,” Borromeo said.
Meanwhile, Villarosa reported SBC has cleaned up its balance sheet program and the banks as early as 2000.
“We have to be very focused on what we’re doing. It’s difficult to let the business move if you have so many baggage,” he said.
Villarosa and Borromeo, together with other top executives of SBC were in Cebu to celebrate the banks’ 55th year anniversary.
In line with the celebration was the opening of its third branch in Cebu located at the Cebu Business Park.
Borromeo said the new branch is a “show of commitment” to its shareholders and customers.
Villarosa also revealed that SBC plans to expand in northern Cebu.
SBC has a total of 144 branches nationwide and 70 percent of the outlets are found in Luzon. (MMM)
