UnionBank Plaza in Pasig, Philippines. (Photo courtesy of Moon Rivers, Wikimedia Commons)

UnionBank to buy Citi’s Philippine consumer banking franchise for $908m

Around 1,750 Citi employees are expected to transfer to UnionBank.

UnionBank of the Philippines is acquiring Citi’s consumer banking franchise in the country for approximately $908m (PHP45.3b), according to a press announcement.

Subject to the timing of regulatory approvals, completion is expected in the second half of 2022. 

The agreement covers Citi’s local credit card, unsecured lending, deposit, and investment businesses.

It also covers all Citi staff, with around 1,750 employees expected to transfer to UnionBank upon the close of the transaction.

In addition, the transaction also covers the acquisition of Citicorp Financial Services and Insurance Brokerage Philippines Inc., which provides insurance and investment products and services to retail customers.

Upon closing, Citi said that this transaction would result in the release of approximately $300m of allocated tangible common equity, as well as an increase to tangible common equity of approximately $500m. 

Citi said that UnionBank was selected following “an extensive and competitive auction process.”

Follow the links for more news on

Join Asian Banking & Finance community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

CIMB Niaga leads the way in captivating Indonesia’s youth
The bank’s digital solutions are winning over younger generations with 3.2M mobile users and 96% digital transaction rate in 2023.
BCA sets benchmark in Indonesia’s microfinance sector
Innovative approaches reflect the bank’s commitment to pushing financial inclusion and fostering economic growth.