PCC OKs Veterans Bank’s acquisition of UCPB

MANILA, Philippines — The Philippine Competition Commission (PCC) has approved the proposed acquisition by Philippine Veterans Bank of UCPB Savings Bank Inc.

In a statement yesterday, the PCC said it cleared Veterans Bank’s acquisition of 97.55 percent of UCPB Savings’ issued shares amounting to P2.7 billion.

The transaction involves a share purchase agreement dated July 8, 2025, between Veterans Bank and Land Bank of the Philippines.

Landbank serves as the ultimate parent entity of UCPB Savings, following the latter’s privatization under Memorandum Order  28 issued by President Marcos in August last year.

Landbank notified the PCC of the transaction on July 16, while Veterans Bank submitted its notification on July 24.

The PCC said it found no horizontal or vertical relationships between Veterans Bank and UCPB Savings. 

“The parties cater to different customer segments and operate under distinct banking classifications (universal and commercial banks, thrift banks and rural banks) that are governed by different regulatory frameworks under the Bangko Sentral ng Pilipinas,” the PCC said.

In addition, the parties offer differentiated financial products within their respective regulatory and operational scopes.

“Even under a broad market definition encompassing core banking services such as deposits and loans across all banking types, the transaction is unlikely to result in a substantial lessening of competition, given the parties’ small market shares and the presence of numerous competitors in each segment,” the PCC said.

Veterans Bank is a private commercial bank offering a range of financial services, including deposit-taking, loans and trade finance, domestic and foreign fund transfers, treasury, foreign exchange and trust services.

Meanwhile, UCPB Savings is a domestic thrift bank providing deposit-taking, loans, domestic fund transfers and treasury services.

The PCC is mandated to review mergers and acquisitions that meet thresholds for size of party and transaction to ensure these deals do not reduce market competition and promote consumer welfare.