The Bangko Sentral ng Pilipinas has approved the merger of the Ayala family’s two banking units Bank of the Philippine Islands and BFI Family Bank, setting the stage for the union to be completed early next year.
In a regulatory filing, BPI said the merger, approved by the Monetary Board on Sept 30, would become effective upon the issuance of the certificate of merger by the Securities and Exchange Commission.
Apart from generating cost savings, the merger will result in a wider footprint and suite of products as well as a bigger customer base for the merged entity, which is BPI.
BFSB is the country’s largest thrift bank with P287 billion in assets, P235 billion in deposits and P227 billion in loans.
It has focused on providing housing and auto loans to Filipino families, and is a market leader in these loan segments.