Gov't to bid out UCPB stake within the year

Posted at 06/16/14 5:19 PM

MANILA, Philippines - The government is looking to bid out its majority stake in United Coconut Planters Bank (UCPB) by the end of 2014.

Finance Undersecretary Jose Emmanuel Reverente said the government is set to sell its 72 percent stake in UCPB this year.

"The bidding could be done toward the latter part of the second-half of the year," Reverente said, noting that many have expressed interest in the bank.

The sequestered shares are estimated to be worth around P14.4 billion, based on UCPB's P20 billion net worth.

Several banks have expressed interest in joining the bidding for UCPB, including Philippine National Bank, BDO Unibank, Union Bank of the Philippines and EastWest Bank.

At present, UCPB is finalizing the terms and conditions for its planned recapitalization, which will be completed before the public bidding.

Earlier, the Philippine Deposit Insurance Corporation (PDIC) said proceeds from the sale of UCPB shares will go to a trust fund that the government will set up for coconut farmers.