The merger of two of the country’s top banks was previously approved by both the BSP and the SEC.

One year after the shareholders of Bank of the Philippine Islands (BPI) gave its approval, the Ayala-led bank has merged with the Gokongwei family’s Robinsons Bank. The BPI-Robinsons Bank merger took effect on January 1. 

As previously reported here on TBM, the Bangko Sentral ng Pilipinas (BSP) gave its go signal on December 14. On the other hand, the Securities and Exchange Commission (SEC) gave its approval on December 29. 

As the merger takes effect, BPI becomes the surviving entity between the two banks. However, the Gokongwei Group gets an additional 6% stake in BPI.

What BPI’s President Has to Say

According to a report by GMA News, BPI President and CEO Jose Teodoro Limcaoco earlier said that “The proposed merger with Robinsons Bank Corporation would unlock various synergies across several products and service platforms and expand the customer and deposit base of both banks.”

“Apart from growing BPI’s client and deposit base, and expanding synergies, the merger will increase shareholder value by providing BPI opportunities to collaborate across the Gokongwei Group’s ecosystem, which includes market-leading businesses in food manufacturing, air transportation, real estate, and property development, and multi-format retail companies,” Limcaoco added.

What the BPI-Robinsons Bank Merger Means for Clients 

The BPI and Robinsons Bank merger has effects on its clients, particularly those of Robinsons Bank. This is due to the fact that the bank is not the surviving entity as the merger takes effect. 

According to BPI, it will “implement activities after the merger to integrate BPI and Robinsons Bank processes.” 

“Activities after the merger will start in the first quarter of 2024, and we hope to complete these activities by the end of 2025,” it adds. 

BPI, however, assures Robinsons Bank’s clients that there will be no immediate changes to their accounts. The bank will notify clients about any changes made to accounts as the integration process takes place. 

BPI also has a dedicated section on its official website for Robinsons Bank clients who have concerns regarding the merger. The Frequently Asked Questions (FAQs) page can be accessed here.