Several major Southeast Asian lenders eyeing the controlling stake in Bank Pan Indonesia (Panin Bank).

OCBC and CIMB have emerged as key contenders, having already submitted non-binding offers.

Malaysia’s Maybank is also reportedly in the running, currently working with an advisor to evaluate a potential bid.

In addition to that, two prominent Japanese banks, Mitsubishi UFJ Financial Group and Sumitomo Mitsui Banking Corp, have also expressed interest in the stake.

The controlling stake is currently held by Australia’s ANZ and the founding Gunawan family of Indonesia.

Reuters reports the combined holdings are valued at approximately US$2.4 billion.

Indonesia’s robust economic growth and Panin Bank’s diverse portfolio, encompassing consumer finance and private wealth management, have fueled significant interest in the acquisition.

The pursuit of Panin Bank’s controlling stake has propelled its share price upward, boosting its market value to US$2.84 billion.

ANZ, which has been seeking to divest its stake since 2013, declined to comment.

The Gunawan family, who established Panin Bank in 1971, is expected to retain some ownership even if a deal is finalised.

Panin Bank’s 2023 annual report revealed a decline in net profit, attributed to a decrease in net interest income.

Featured image credit: Edited from Freepik

The article first appeared on Fintech News Singapore