BPI keen on bidding for Citi Philippines business

Ayala-led Bank of the Philippine Islands (BPI) is keen on bidding for the retail and consumer businesses of Citi Philippines, following the announced winding down of banking franchises in at least 13 countries.

At a virtual briefing on Thursday,  BPI president and Chief Executive Officer Jose Teodoro "TG" Limcaoco said the bank has already received feelers from Citi Philippines.

"People have reached out to us to tell us of what the plans are for the Philippines. I think it's quite public knowledge that they will exit and they will try to sell the business," he told reporters.

"Most likely we will be interested, to be honest. It's a great business," he added.

American banking giant Citigroup earlier this month said it will close its consumer banking business in 13 countries including the Philippines, but noted that operations in the country will continue for the time being.

According to BPI Executive Vice President and Mass Retail Head Marie Josephine Ocampo, Citibank's portfolio is among the factors making it attractive.

"We like the Citibank portfolio a lot, we like the quality of their portfolio, we like the talent, and we like the technology," she said in the same briefing.

"On a combined bases, if you put the BPI and Citibank portfolio, we will almost double the BPI business so yes, we're very keen on looking at the Citibank business cause it's a great deal to our credit card business," she elaborated.

Limcaoco said there is still no clear picture on the ticket size, but BPI currently has sufficient capital to finance the possible transaction internally, based on the capital ratios.

He stepped in as the lender's president and chief executive officer on April 22, following the lender's annual stockholders' meeting.

Under his watch, Limcaoco said BPI will boost its digitalization efforts and cement what he claims is the "undisputed" digital leadership.

"We need to be very focused on the customer, on their experience with us, through our digital platforms and our branches. We will build on the trust of the clients through every touchpoint they have with us," he said.

BPI reported a 21.7% decline in its net income after taxes in the first quarter, on the back of one-time tax adjustments in connection with previously booked loan provisions because of the effectivity of the CREATE Law.

Shares in the company rose by 10 centavos or 0.12% to close at P82.20 apiece on Thursday versus Wednesday's finish of P82.10. — RSJ, GMA News