Bank Danamon, Bank BNP propose merger

MERGER - JAKARTA. Private lenders Bank Danamon Indonesia and Bank Nusantara Parahyangan (Bank BNP), members of the Mitsubishi UFJ Financial Group, Inc. (MUFG) announced their merger proposal on Tuesday.

The merger is still pending approval from the Financial Services Authority (OJK), shareholders of the two banks and other requirements, according to a press release issued by Bank Danamon on Tuesday.

Bank Danamon acts as a receiver bank in the merger. 

The management believes that MUFG investment in Bank Danamon would benefit customers and support  growth.

With the collaboration, Bank Danamon could access the strength, expertise and networks of MUFG, the release says.

The collaboration and synergy cover financing for automotive, retail banking, digital innovation and improvement of management risk capability.

 “All of the synergy will be implemented through transfer of technology from MUFG and its business partners in Asia to all employees of Bank Danamon,” the press statement says, adding that the collaboration would positively contribute to the country’s economy.

“Bank Danamon will continue to give its best to customers,” the release added.