SECURITY Bank is expected to gain a major foothold on Japanese corporations in the country following its partnership with Bank of Tokyo-Mitsubishi Ltd. (BTMU) earlier this year.
Alfonso Salcedo Jr., Security Bank president, said there are many Japanese manufacturers in economic zones in the Visayas, particularly the Mactan Export Processing Zone (MEPZ) in Cebu.
“That is the new segment SB hasn’t really penetrated in a substantive way,” he told reporters in a press gathering at the Waterfront Cebu City Hotel and Casino last Tuesday, where the bank also held an appreciation dinner for its clients.
Considered as Japan’s largest banking group, BTMU sealed a P36.9-billion fresh capital infusion to Security Bank in exchange for a 20 percent stake in the local bank last April.
Salcedo said that, among others, this would allow the local bank to tap the foreign bank’s network of Japanese clients in the country.
He said that there are around 1,200 registered Japanese businesses in the Philippines and 700 of these are BTMU’s clients.
“That’s one market we hope, with BTMU, we’ll be able to offer our products,” said Salcedo.
With BTMU’s 20 percent equity investment, Security Bank’s shareholder capital increased from P53.2 billion to P90.2 billion.
Salcedo said the additional capital would be used to accelerate the execution of Security Bank’s growth strategies.
On the domestic side, he said they plan to penetrate the market in a “bigger way.”
“It’s really expanding our retail footprint, our branches, and coverage of the SME (small and medium-scale enterprise) sector in a more aggressive and accelerated way given that we have the financial resources to do that,” Salcedo said.
Leslie Cham, Security Bank executive vice president and head of the branch banking group, said they would be opening four more branches in Cebu in 2017.
He said these would be in Danao City, Minglanilla, Toledo City, and MEPZ.