BANK - JAKARTA. The Annual General Meeting of Shareholders (AGMS) of PT Bank OCBC NISP Tbk has approved the plan to take over the shares of PT Bank Commonwealth. Therefore, the management of OCBC NISP will complete all acquisition processes and merger this year.
In detail, President Director of OCBC Parwati Surjaudaja said, the acquisition process will be completed in the second quarter of 2024. Followed by the merger process which is targeted to be completed in the second semester of 2024.
"This acquisition will then be followed by a merger in the second half of this year and the synergy will be visible after the merger," said Parwati in a press conference, Monday (18/3).
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Currently, said Parwati, OCBC NISP is still focusing on the acquisition process, which is still in the early stages. This means, there is no detailed bank business plan after the merger occurs.
She only said that this merger is not only a short-term effort but a long-term effort from the bank.
As previously reported, OCBC NISP is targeting the retail and SME segments with one of its strategies to acquire the Australian-based bank.
"We hope that the synergy in the retail and SME sectors can be observed in the future, as well as the synergy from various capabilities that can be carried out by these two institutions," said Parwati.
The acquisition and merger plan of OCBC and Bank Commonwealth was indeed announced in November last year. OCBC NISP will acquire 99% of shares owned by the Commonwealth Bank of Australia (CBA) and take 1% of shares owned by minority shareholders.
If we look at its annual report in 2023, OCBC NISP recorded the bank's retail consumer credit at IDR 25.3 trillion. This figure increased by 17.9% annually (Year-on-Year).
Meanwhile, OCBC's Home Ownership Credit (KPR) is recorded to make a large contribution, which is about 84% of total consumer credit. The rest comes from car purchase loans and unsecured loans.
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On the SME side, Parwati said that they are not only developing by providing credit facilities. However, she also believes that SMEs need to be developed through educational activities and business communities to share experiences and knowledge.
In total, the credit provided by OCBC throughout 2023 amounted to IDR 154.1 trillion. The largest contributor still comes from investment loans which have a portfolio of about 44%.
