MANILA, Philippines - Asia United Bank Corp. (AUB) is hoping to complete its acquisition of Asiatrust Development Bank Inc. within the first half of the year. On Wednesday, shareholders of Asiatrust approved the AUB's plan to acquire its banking assets.
Last February, the two banks signed an agreement for AUB to acquire Asiatrust's banking assets and assume its banking liabilities. However, the deal excludes Asiatrust's trust business.
Asiatrust said it will work closely with AUB to secure regulatory approvals to complete the transaction.
The 28 Asiatrust branches will be turned into AUB branches upon completion of the transaction.
"The approval by Asiatrust shareholders of the agreement with AUB puts us one step closer to the completion of the transaction. Asiatrust's customers will soon be able to access AUB's wider distribution network and wider array of product offerings," said Asiatrust vice-chairman Roland M. Garcia.
Asiatrust president and CEO Dionisio Ong said AUB is a strong bank with a good customer service track record. "We are confident that AUB will be able to match the high quality of service we have delivered to our customers," he said.
Asiatrust shareholders also approved the change in corporate name to NextGenesis Holdings Corp. and change in purpose to holding company.