ANZ is continuing to dilute assets in a bid to simplify its business, announcing the sale of half of its 40% stake in Metrobank Card Corporation (MCC), the leading provider of credit cards in the Philippines.
The bank also has the option to sell its other 20% share on the same terms, which would bring the total cost of the transaction to AU$368mn. This announcement comes shortly after ANZ revealed the sale of its pensions and investments business for $975mn.
MCC is a major provider of credit cards in the Philippines with more than 1.5mn cards in force. ANZ’s joint venture with Metrobank, which owns the remaining 60% of MCC, has been a successful financial and commercial transaction since it was formed in 2003.
ANZ Deputy Chief Executive Officer Graham Hodges said: “This has been a highly successful joint venture for both ANZ and Metrobank creating the leading credit card company in the Philippines.
“The sale makes sense for ANZ given our continued efforts to simplify our business and is also a good outcome for MCC and its card customers given the strength of the business. ANZ remains committed to its institutional business in the Philippines.”
It is a tidy return for the company, which initially investment $14mn in the venture and since 2003 has received $101mn in dividends.