PSBank, Sumitomo team up for motorcyle financing

Listed Philippine Savings Bank (PSBank) has tapped Japan’s Sumitomo Corp. as its strategic partner in providing leasing and financing for motorcycles in the country. In a disclosure, PSBank president Pascual M. Garcia III said the thrift bank arm of the Metrobank Group has agreed to form a P2-billion joint venture company that will offer financing for all motorcycle brands through its Metro Manila branches. “We are pleased to have an opportunity to partner with Sumitomo in this pioneering effort to extend financing to motorcycle buyers. We deem this investment made during these challenging economic times as a vote of confidence for the country," Garcia said adding PSBank will be the first savings bank in the country to partner with one of the world’s top trading and investment companies. In Asia, Sumitomo has invested in companies in China, Taiwan, Korea, Thailand, Singapore, Malaysia, the Philippines, Indonesia, Vietnam, and India, among others. A global integrated trading company with a wide and diverse range of business interests, Sumitomo has established considerable experience in motorcycle and vehicle leasing and financing through its finance companies in Indonesia and Thailand. “With the success of Sumitomo’s motorcycle financing businesses in other parts of Asia, and PSBank’s widespread experience in the consumer financing market, we are confident that this new Philippine venture will likewise meet similar success while providing affordable means of transportation to the public," Sumitomo corporate officer Masao Tabuchi said. With this major investment by Sumitomo and PSBank, Garcia said additional credit to the motorcycle industry will be provided. Thus, helping to expand the market and encourage increased investments by Honda, Yamaha and other major motorcycle assemblers. One of the country’s largest thrift banks, PSBank has a capital base of P8.5 billion and assets of P75 billion as of end-2008. It currently has a network of 168 branches and 260 ATMs nationwide. PSBank offers deposit and loan products that are geared towards the consumer and SME markets. - Ruby Anne M. Rubio, GMANews.TV