[2] The company was founded in 1998 as Pabama Transport by the Panis family based in Kibawe, Bukidnon.

The name of the company was a portmanteau for "Panis Bag Maker" because prior to venturing the transport industry the family are already in the business of making and selling bags in Kibawe and nearby towns operating under such a name.

It started out as a local provincial bus line serving the Malaybalay-Kibawe-Kadingilan route using 15 units of used-up and second hand minibuses.

While it continued to be so throughout the whole 2000's decade, during the same time period it often copied the livery of its rival Rural Transit to give the impression that it was a subsidiary of the giant company when in reality it was not, as a marketing strategy and to better secure the preferences and tastes of the commuters.

Pabama Corporation has a variety of units ranging from small coaster minibuses to standard coaches and double decker buses.