BDO Unloads PELAC Stake to Philamlife
Banco De Oro Unibank Inc. (PSE: BDO) has sold its 5% stake in Philam Equitable Life Assurance Company, Inc. (PELAC) to The Philippine American Life and General Insurance Co. (Philamlife).
PELAC is the joint venture company through which the former Equitable PCI Bank (EPCIB) and Philamlife engaged in the bancassurance business. BDO acquired its 5% stake in PELAC when it merged with EPCIB.
Philam exercised its option under their agreement to acquire BDO’s 5% stake in PELAC in line with their mutual agreement to end their bancassurance partnership. This sale also follows Philam’s signing of an exclusive bancassurance tie-up agreement with BPI in 2009. From its original 95% stake, Philam will now own 100% of PELAC.
The Bank continues to have an exclusive bancassurance agreement with Generali Pilipinas.