EastWest Bank not for sale, says Filinvest

Ralf Rivas
EastWest Bank not for sale, says Filinvest
EastWest Bank is rumored to be consolidating with another bank, as the coronavirus pandemic triggers bad loans. Filinvest, the bank's controlling stockholder, denies the speculations.

MANILA, Philippines – Filinvest Development Corporation (FDC) denied rumors that EastWest Bank is up for sale.

“We have been getting some queries from the media if EastWest Bank is set to be acquired by another bank is true. No, it is not true. Filinvest Development Corporation is not in any discussion nor does it plan to, with regards to any potential sale of EastWest Bank,” FDC chief executive officer Josephine Gotianun Yap said on Monday, June 22.

FDC is the controlling stockholder of EastWest, holding 40% of the bank.

There were rumors among fund managers last week that EastWest is set to be acquired by Security Bank, as the former is allegedly bleeding due to bad loans amid the coronavirus pandemic.

Security Bank has not addressed the rumors as of writing.

“We are poised for another record year of profits,” said EastWest CEO Antonio Moncupa Jr, adding that inflation remains under control and interest rates have gone lower.

EastWest further stressed that it has been among the top banks in terms of return on average equity since 2017.

Just last week, shares of EastWest went up by almost 12%.

On Monday, the bank’s stocks closed higher by 1.6% to P8.33 apiece.

EastWest reported a P6.2-billion net income in 2019, and a P2.7-billion net income in the first 4 months of 2020. – Rappler.com

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Ralf Rivas

A sociologist by heart, a journalist by profession. Ralf is Rappler's business reporter, covering macroeconomy, government finance, companies, and agriculture.