MANILA - The Philippine Competition Commission on Friday said it has approved UnionBank's acquisition of Citi Philippines' consumer banking business.

In a decision issued on April 5, the PCC said it found that the proposed takeover would not result in substantial lessening of competition in the consumer banking market.

“Upon review of the findings and recommendation of the Mergers and Acquisitions Office and the Parties’ submissions, the Commission finds that the acquisition by UnionBank of assets of Citibank PH and Citi Square and shares in Citicorp will not likely result in substantial lessening of competition,” the commission's decision read.

“Post-transaction, significant competitive pressures or constraints remain from other banking institutions in the markets for credit card issuance, retail deposits, asset management, and unsecured loans; and no horizontal or vertical overlaps exist in the market for real estate leasing of commercial spaces in Manila, Quezon City, and Pasig,” it added.

Citigroup earlier said it would exit consumer business in 13 jurisdictions including the Philippines, but its institutional businesses remain in these markets.

The Aboitiz-led lender announced the acquisition in December.

The deal includes 3 full-service bank branches, 5 wealth centers and 2 bank lites, UnionBank earlier said.

• UnionBank in talks with Citigroup for 'potential acquisition' of PH consumer banking unit
• UnionBank acquires Citigroup’s Philippine consumer banking business

RELATED VIDEO:

Watch more News on iWantTFC