Banking - Trend on bank acquisitions and corporate action could continue

Banking - Trend on bank acquisitions and corporate action could continue The acquisition trend in the banking industry is likely to continue. Latest several corporate actions include Bank OCBC NISP acquiring 99% of Bank Commonwealth's shares and Bank Danamon acquiring Bank Standard Chartered Indonesia's retail business. Meanwhile, UOB Bank has successfully completed the acquisition of Citibank's consumer business. Several other banks are still preparing acquisition plans. BTN, for example, is eyeing acquiring banks and then merge them into BTN Syariah bank. Not to forget, BTPN also plans to acquire other companies. (Source: Kontan) Comment: We believe corporate action could overall supports bank performance in ‘24F. Going forward, we might see smaller banks merger to strengthened its position. On mid and big banks, we view product mix, deepening market penetration and strengthening digital related will colored ‘24F banking activity.