Exportbank bidding fails

No party submitted a letter of interest to bid for the bank's assets and liabilities

FAILED BIDDING. The PDIC said it received no lotter of interest for ExportBank. Photo from PDIC website.

MANILA, Philippines – Government efforts to rehabilitate Export and Industry Bank failed again as no one participated in the rebidding of the bank’s assets and liabilities.

State-run insurer Philippine Deposit Insurance Corp. (PDIC) declared the rebidding a failure on Tuesday, March 19, after the deadline for submission of pre-bid documents passed with no letters of interest from investors. The deadline was set for 5 pm Monday, March 18.

The sale of Exportbank’s assets and liabilities is the first step in its planned rehab.

“The PDIC vigorously exerted efforts to facilitate the rehabilitation of EIB in order to help maximize the potential recovery of the closed bank’s depositors and creditors. With this development, the task at hand is for PDIC to make a final determination on whether EIB may be rehabilitated, then submit its report to the Monetary Board,” said Romeo M. Mendoza Jr., the general counsel of PDIC.

Exportbank was placed under PDIC’s receivership in April 2012.

Top lender BDO Unibank of the Henry Sy group earlier expressed interest in rehabilitating Exportbank, but legal issues got in the way.

In a disclosure sent to the Philippine Stock Exchange on Tuesday, BDO said that it was no longer interested in the closed bank. – Christian Bautista/Rappler.com

Add a comment

Sort by

There are no comments yet. Add your comment to start the conversation.