MANILA, Philippines - The Philippine Deposit Insurance Corporation (PDIC) is holding the bidding for the rehabilitation of the shuttered Export & Industry Bank (EIB) on October 18.
In a statement, the PDIC said strategic third party investors (STPIs) who have been pre-qualified to participate in the bidding may bid on the first tranche covering the purchase of EIB's assets (including its branches) and assumption of liabilities.
The second tranche of the bidding will be for EIB’s commercial bank license.
The PDIC said the two-tranche bidding process is intended to maximize recovery for the benefit of the bank’s creditors.
The bidding process for the second tranche will commence in the next two weeks.
The bidding procedures for the first tranche are being finalized and will be released next week on the PDIC website.
PDIC President Valentin A. Araneta said that PDIC continues to address the concerns of both pre-qualified STPIs and depositors to ensure a successful bidding.
The PDIC laid out certain critical requirements for bank's rehabilitation:
1. support from the STPIs that will bid for the rehabilitation of EIB;
2. consent of majority of stockholders;
3. consent of all creditors and uninsured depositors; and
4. successful bidding.
The PDIC said pre-qualified STPIs have already finished due diligence on EIB and are now preparing their bids.
The bidding for EIB rehabilitation was earlier scheduled for September, but was moved to October to give time for creditors and uninsured depositors more time to submit their consent.
Around 15% of EIB depositors could not be contacted due to incomplete and outdated addresses and contact details in the bank’s records.
PDIC said it will continue to receive consents, and depositors may submit their consents to the Records Control and Logistics Department, 4/F SSS Building, 6782 Ayala Avenue cor. V.A. Rufino St., Makati City (Attention: Assistant Vice President Teresa H. Garcia). For more information, interested parties may call telephone no. (02) 841–4725 or e-mail [email protected]