According to AHN, a disclosure statement revealed that the deal, which is expected to strengthen Banco de Oro’s (BDO) presence in the country’s consumer segment, involves the purchase of American Express Bank’s (Amex) peso and US dollar credit portfolios, and the consumer banking services of its banking unit American Express Savings Bank.
In addition, BDO will establish a new partnership deal with Amex that will see BDO issue Amex cards in the Philippines, revealed the Inquirer. The publication also reported that BDO intends to eventually group Amex’s business with its subsidiary, BDO Private Bank.
The acquisition of the American Express business in the Philippines ties in with our vision for long-term growth and value in the industry, said Teresita Sy, chairman of BDO, as cited in the Inquirer.
Under the terms of the deal, BDO will pay Amex $42.7 million for the banking business, AHN reported.
