MANILA – EastWest Banking Corporation will acquire a Pasig City-based rural bank for P41 million and not P42 million as earlier reported.

The correction was made by the Gotianum-led EastWest Bank in a disclosure with the Philippine Stock Exchange yesterday.

Earlier, the bank said it has received the approval of Bangko Sentral ng Pilipinas’ policy-making Monetary Board to acquire Finman Rural Bank Inc. as part of the former’s expansion program.

The disclosure said the MB has given its go signal for for EastWest Bank to acquire up to 100 percent of the outstanding shares of Finman Bank “subject to certain considerations.”

EastWest bids to further widen customer base through acquisition of smaller banks or putting up of new branches, which would be financed by among others the proceeds of its initial public offering last May wherein the bank raised P5.2 billion.

In the first three months this year, the bank registered a five percent increase in its net income to P464 million on account of higher interest and fee-based earnings and trading gains.

The bank is also planning to issue P5 billion worth of long-term negotiable certificate of deposits although it has not disclosed the terms of the issuance.

LTNCD’s are deposit products that have higher returns and longer maturities compared to regular time deposits.

The bank currently has 144 branches nationwide, an improvement of 31 branches over year-ago’s 113 branches.*PNA

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