Antitrust body gives LandBank-Postbank deal the green light

The Philippine Competition Commission on Thursday approved the acquisition of the Philippine Postal Savings Bank (Postbank) by the Land Bank of the Philippines (LandBank).

“The acquisition by LandBank of the Philippines of shares in Postal Savings Bank Inc. does not result in a substantial lessening of competition in the relevant markets,” the antitrust commission said in a decision on Jan. 11, 2018.

The decision was uploaded on the PCC website Thursday afternoon.

In a separate tweet, chairman PCC Arsenio Balisacan mirrored the decision.
 

PCC has approved the acquisition by Land Bank of the Philippines of Philippine Postal Savings Bank.

— Arsenio Balisacan (@ambalisacan) January 11, 2018

The acquisition was approved by the policy-setting Monetary Board last December, but needed the green light of the PCC before the transaction could push through.

The PCC is mandated to review all business transactions valued at P1 billion and higher to ensure that competition will not be negatively affected.

The central bank approved in 2006 the conversion of Postbank into a financial institution catering  to Overseas Filipino Workers.

President Rodrigo Duterte has signed Executive Order No. 44 facilitating the conversion process.

“Overseas-based Filipinos, who contribute to the country’s foreign exchange income, currency stability, employment, and overall economic growth through their remittances should be given provision of priority support for their growing financial needs,” the EO read. — VDS, GMA News