CIFC infuses P200M into Aspac Rural Bank

Cebu International Finance Corp. (CIFC) injected P200 million into Aspac Rural Bank after taking an equity stake in the lender, betting that rising credit demand in the Visayas will drive the next phase of growth in provincial banking.

- Ehda M Dagooc, Staff Member

The deal brings together CIFC president and chief executive officer Ruben D. Almendras and businessman Augusto W. Go, whose Augusto Go Group of Companies has long owned and operated Aspac Rural Bank. While the parties did not disclose the exact size of CIFC's shareholding, both sides said the investment will strengthen the bank's balance sheet and support its push to scale up lending and digital services.

"We are a private equity investor," Almendras said. "We look for profitable banks where we can put in capital, improve operations and grow with them."

CIFC, which already owns 60 percent of the Bohol-based City Development Bank and minority stakes in other financial institutions, said the Aspac investment reflects its strategy of backing well-run regional banks that are positioned to benefit from rising credit demand in secondary cities.