Singapore’s Oversea-Chinese Banking Corp (OCBC) is on the look out for potential acquisitions in Indonesia to drive growth, Reuters reported, citing the bank’s CEO Helen Wong.
“Indonesia offers a lot of potential. Would I look at inorganic? Yes, I will, when the right thing comes along,” Wong told the news agency in an interview.
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According to Wong, who took charge as OCBC chief in April 2021, the bank hopes to leverage its strong capital buffer built in recent years.
“We think our capital is now good for us to enter a quick phase of growth,” OCBC chief was quoted by the news agency as saying.
In the first half of this year, net profit recorded a 7% increase to a S$2.84bn ($1.98bn), boosting the bank’s capital buffers.
As per the report, analysts expected that OCBC would make acquisitions in China, where it already has substantial presence.
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By GlobalDataWong stated that the bank is eyeing deals in Indonesia, and considering OCBC’s financial position, it will make an attractive suitor especially in comparison with digital banks that have smaller capital base and limited physical presence.
“Some of the banks think that we have the capability to buy,” the chief said, adding that “we are strong enough to acquire the whole business where it suits us but equally we will be happy to buy a portfolio, but it has to complement.”
In December 2021, the Singapore-based bank fell victim to a phishing scam, which reportedly resulted in monetary losses of at least $6.31m and affected around 469 OCBC customers.
