EON BANK TO FORM STRATEGIC JOINT VENTURES

KUALA LUMPUR, Aug 18 (Bernama) -- EON Bank Group is actively in talks with
various companies to form strategic joint-ventures on an exclusive basis.
Head of Consumer Banking Michael Lor said this would allow the bank to
develop products and propositions which were now highly expected among
customers.
"We hope to leverage through either an equity stake, insurance company or a
strategic joint-venture with exclusive partners," he told reporters after the
company entered into a partnership agreement with UniAsia Life Insurance Bhd to
launch "Wealth Planner", an innovative savings and insurance plan.
Lor added that the group was also reviewing its entire bancassurance
strategy as there are vast potential for further growth.
"We expect to achieve a non-interest income of between 25 and 30 per cent
over the next 3 years.
"At present, the bank's non-interest income was about 20 per cent," he said.
On Wealth Planner, Lor said EON Bank was targeting over 6,000 customers for
the product which would translate into new deposits of RM75 million by year-end.
He said unlike the conventional fixed deposit, the Wealth Planner savings
and insurance plan guaranteed interest rate returns of 5 per cent, per annum,
and a guaranteed 5 per cent annual cash back on the sum assured.
For a deposit of RM50,000, a depositor would accrue returns of RM1,275
against RM500 earned on the same sum in a normal fixed deposit savings account.
The Wealth Planner promotion begins today and will end on Dec, 31 2009.
-- BERNAMA
WNA VMD