Land Bank of the Philippines announced on Friday that the stockholders of the United Coconut Planters Bank (UCPB) have approved their merger, effectively advancing the ongoing process between the two government banks.
In a statement on Friday, Land Bank said shareholders representing 97.2 percent of the total outstanding capital stock of UCPB voted in favor of the Plan of Merger and Articles of Merger between UCPB and LANDBANK during the UCPB stockholders meeting held on 14 December 2021.
As the surviving entity of the merger, Land Bank’s total assets will grow to close to P3 trillion, maintaining its position as the country’s second-largest bank in terms of assets.
“With this merger, we are looking forward to a stronger, more resilient and unified banking institution that will promote and broaden financial inclusion among Filipinos, especially those who belong to the underserved and unbanked sectors,” LandBank President and CEO Cecilia Borromeo said.
The bank also reiterated that it is more than capable of absorbing the financial impact of the merger with UCPB, as its assets and liabilities will similarly expand total deposits, loans, and capital.
The merger between LandBank and UCPB is pursuant to Executive Order No. 142 signed by President Rodrigo Duterte on 25 June 2021, which approved the merger to form a better capitalized and more resilient institution that will play a principal role in the National Government’s development and financial inclusion agenda.