Robinsons Bank, BPI Plan to Merge, What Does It Mean for Your Money?

JG Summit said Friday it was planning to merge its banking arm Robinsons Bank, with Bank of the Philippine Islands to give clients access to a wider suite of services, with BPI as the surviving entity.

Once approved by regulators, Robinsons Bank shareholders will end up owning approximately 6% of Ayala-led BPI, JG Summit told the stock exchange. The merger is targeted for completion at the end of 2023.

"We believe that merging Robinsons Bank with BPI, which is one of the strongest and most profitable banks in the country, is the best path forward," JG Summit President and CEO Lance Gokongwei said in a statement.

"This will give our customers access to a fuller range of banking products and services as the combined organization will leverage on ecosystems of both the Gokongwei and Ayala Groups," he added.

Customers come first

BPI President and CEO Jose Teodoro Limcaoco said the Ayala-led bank plans to implement a smooth transition for Robinsons Bank customers.

"We plan to effect a smooth transition and integration of RBC and its customers into BPI. Together, we aim to maintain quality banking services and offer additional best-in-class and innovative products to our expanded client base," he said in a statement.

For retail customers of Robinsons Bank, the merger with BPI would mean access to free cash transfers to GCash instead of sending with a fee via InstaPay. Withdrawing money will be more accessible as BPI has some 2,500 ATMs, compared to RBank's 354.

Robinsons Retail Holdings and JG Summit Capital Corp. own nearly 100% of Robinsons Bank. As of June 30, Robinson's Bank has total assets of P175.9 billion, including net loans and receivables of P102.4 billion, and total liabilities of P156.0 billion, including deposits of P139.0 billion.

Editor's Note: Robinsons Retail, JG Summit, and Summit Media, which publishes Spot.ph, are both part of the Gokongwei Group.