UnionBank of the Philippines entered into a memorandum of agreement to acquire 99.54% stake in City Savings Bank from Aboitiz Equity Ventures Inc. and Pilmico Foods Corporation for approximately PHP 5.7 billion.

UnionBank of the Philippines (PSE:UBP) entered into a memorandum of agreement to acquire 99.54% stake in City Savings Bank from Aboitiz Equity Ventures Inc. (PSE:AEV) and Pilmico Foods Corporation for approximately PHP 5.7 billion in cash on January 8, 2013. UnionBank will acquire 0.12 million City Savings Bank shares from Aboitiz and 0.08 million City Savings Bank shares from Pilmico. The transaction was approved by the Board of Directors of Aboitiz and UnionBank of Philippines.

The transaction is conditional upon UnionBank obtaining the necessary Monetary Board approvals from Bangko Sentralng Pilipinas, satisfactory due diligence review and the foregoing regulatory approval. The transaction is expected to be consummated upon the issuance of the relevant regulatory approvals. As on March 21, 2013, the deal is approved from the monetary Board of the Bangko Sentral ng Pilipinas (BSP).

As on March 26, 2013, the deal was approved by the Board of Directors of UnionBank of the Philippines.