A joint technical committee, constituted by the Department of Finance (DOF) and the Philippine Deposit Insurance Corp. (PDIC) to oversee the joint sale of the National Government’s 33.3-percent stake and the Lucio Tan Group‚s 33.3-percent ownership in PNB, has invited interested buyers to undergo a pre-qualification process that precedes due diligence for pre-qualified bidders and bidding for the shares.
In a statement, the committee said interested parties in good standing with regulatory agencies must submit their pre-qualification requirements to ING Bank N.V., the financial advisor for the sale.
"Prospective buyers can make their submissions either in the ING Bank’s Philippine and Hong Kong offices," it said.
The sale of both government and Lucio Tan shares in PNB is provided for in the agreement signed by both parties in 2002, prior to putting in place an appropriate rehabilitation program for then ailing PNB.
With its successful turnaround in 2003 and sustained profitability until the present time, the National Government decided to sell a major portion of its stake in PNB along with the same amount of shareholdings of its private counterpart.
Bangko Sentral ng Pilipinas (BSP) Governor Rafael B. Buenaventura agrees PNB is ripe for a sale.
"Now is the perfect time to sell the government shares in the Philippine National Bank as investor interest is high. The sale will also boost the government’s privatization program and will help cut the huge public sector debt," Buenaventura was quoted to have said.
The sale not only provides excellent opportunity to reinforce its steadily strengthening position, it also moves in the origianl direction full privatization.
"Whether or not the sale is consummated, we will continue to prime PNB as an even stronger bank that is always ready to serve its customers’ needs.
If and when the sale pulls through, PNB stands to gain from the entry of additional capabilities both in terms of new resources and management," PNB president and chief executive officer Omar Byron T. Mier said.
"This will, in fact, enhance the already built-in strengths of the country’s national bank, which are principally founded on its strong franchise, well-respected name, 89-year history and widely dispersed local and global presence," Mier added.