The Philippine Deposit Insurance Corporation (PDIC) raised a total of P35.8 million from the public bidding of corporate and closed banks’ assets last week, the third public bidding conducted for the year.
The assets sold comprised of five closed banks’ properties and one corporate property, the collective bid offer of which generated a premium of P5.8 million against the minimum disposal price of P30.0 million. The PDIC bidded out a total of 91 real properties last week for a combined minimum disposal price of P46.73 million.
The real properties sold were located in the cities of Makati, Mandaluyong and Taguig and in the provinces of Isabela, Ilocos Sur and Pangasinan. Unsold properties from the public bidding will be offered for negotiated sale.
The PDIC conducts regular public biddings in accordance with its strategic direction to expeditiously dispose non-financial assets. Creditors of closed banks benefit from these public biddings because the proceeds from the sale of closed banks’ assets are added to funds held in trust for the closed banks and are used to help settle claims of uninsured depositors and creditors. Payment to these parties is subject to the rules on concurrence and preference of credits. Meanwhile, proceeds from the sale of corporate assets are added to the Deposit Insurance Fund, the PDIC’s funding source for deposit insurance payments and grant of financial assistance to banks.
Interested buyers who were not able to participate during the public biddings may still avail of the assets for sale posted in the PDIC website, email@example.com, via negotiated sale. PDIC’s Property Finder in its website provides information on available inventory of assets for disposal. Prospective buyers may also call the Asset Management and Disposal Group (02) 841-4650 for inquiries on assets for sale.
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The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963 by Republic Act 3591 to provide depositor protection and help maintain stability in the financial system by providing permanent and continuing deposit insurance. Effective June 1, 2009, the maximum deposit insurance coverage is P500,000 per depositor. All deposit accounts by a depositor in a closed bank maintained in the same right and capacity shall be added together. A joint account shall be insured separately from any individually-owned deposit account.
PDIC news/press releases and other information are available at the website, www.pdic.gov.ph.