Philippine National Bank (PNB) of Taipan Lucio Tan has successfully offered a large plot of land in the port area of Manila to International Container Terminal Services Inc. (ICTSI) of tycoon Enrique Razon Jr. for 3.7 billion pesos.
In a statement over the weekend, PNB said the sale of the seized 3.2-hectare property was completed via a competitive challenge overseen by auditing giant PricewaterhouseCoopers (PWC).
“This transaction will monetize another foreclosed property generating low revenue, giving the bank additional financial resources that it can use to pursue its strategy and seize opportunities created by the recovery of the economy,” said the president and CEO. of the management of PNB, Jose Arnulfo “Wick” Veloso. .
The bank hired PWC “to ensure an independent, transparent and competitive tender that would benefit PNB”.
Partners Isla Lipana & Co. for application administration and Cabrera & Co. for legal support also provided assistance.
The land was an industrial land and building in the Port Center Manila Industrial Zone in Tondo, Manila. It had a minimum bid price of 3.2 billion pesos or 100,000 pesos per square meter.
PNB said the auction took place last April 19 and was open to individuals, sole proprietorships, partnerships or corporations.
The sale marks another step in PNB’s efforts to generate revenue or monetize idle land assets.
He previously completed a property-for-equity swap for the 10-hectare PNB Financial Center along Macapagal Boulevard in Pasay City, the PNB Makati Center in the Ayala CBD and an eight-hectare seized property around the corner. from Buendia Avenue and Paseo. of Roxas in Makati City.
PNB’s profits in 2021 were up 12 times from last year, thanks in part to the ownership-for-share transaction with subsidiary PNB Holdings Corp.
PNB ended the previous year with a consolidated net profit of 31.7 billion pesos against 2.6 billion pesos in 2020.
Earnings were also driven by 43% growth in net service charges and commissions, followed by a jump in bancassurance and underwriting operations. PNB also collected royalties on the use of its digital platform.
Interest income reached 34.8 billion pesos last year, while PNB maintained its net interest margin of 3.2%. Its loan portfolio increased by 1% to reach 607 billion pesos while total deposits increased by 0.5% to reach 894.9 billion pesos. INQ
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