Singapore-based OCBC has completed the acquisition of Commonwealth Bank of Australia’s Indonesia unit.
OCBC Indonesia has completed the acquisition of PT Bank Commonwealth Indonesia (PTBC), according to a statement. It now owns 100 percent of PTBC’s shares and will obtain more than 1.2 million new customers.
OCBC will aim to complete integration with PTBC in the fourth quarter of 2024 and until then, the latter lender will continue to operate independently.
Local Capabilities
OCBC’s existing Indonesia unit offers a full range of services serving segments including private banking, SMEs and large corporations via 200 branches as well as mobile and internet banking channels. Following the acquisition, it will onboard PTBC capabilities, including in wealth management where it is the first bank to obtain a local license as a mutual fund sales agent.
PTBC was set up in 1997 as a venture between Commonwealth Bank of Australia and Bank International Indonesia.
Core Market
Indonesia is one of OCBC's core markets alongside Singapore, Malaysia and Greater China. In 2004, OCBC became the first Singapore bank to acquire a banking stake in the country, with the obtainment of 22.5 percent in PT Bank NISP. That stake increased over the years to the current level of 85 percent.
«This acquisition builds on our already strong presence in Indonesia. It signals our commitment to accelerating growth in the country, and to support our customers as they seek growth across multiple markets,» said OCBC group CEO Helen Wong.
«Rising ASEAN-Greater China flows is a focal point of Asia’s growth story and a big opportunity for us. Chinese companies, for instance, are looking to expand into Indonesia to tap its large young population and abundance of natural resources.»
