- Acquisition marks AEV’s entry into local remittance market
- “The market for money transfers is a very fragmented market and we see that AEV can add value in PETNET’s strategy to grow and potentially consolidate the market organically.”–EIA
AEV has acquired a 51% stake in PETNET, Inc. (PETNET), a Philippine money remittance business with a national footprint of around 2,500 locations through a mix of own units and business partner agreements.
“We are excited about this acquisition for several reasons. PETNET has a large growth and development potential with the continued increase in remittances from OFWs (overseas Filipino workers) and with a large opportunity to distribute complementary products through an extensive network of outlets,” said Erramon I. Aboitiz (EIA), AEV President and Chief Executive Officer (CEO).
“AEV, as new majority owner, can add significant value and boost this development even further,” EIA added.
Remittances constituted around 8% of the Philippine gross domestic product last year and have grown by around 7% per year for the past couple of years. The inflow of money remittances has shown resilience to temporary market slowdowns.