Thai bank considers buying Home Credit Vietnam
Thailand’s Kasikornbank (KBank) is exploring an acquisition deal with Home Credit Vietnam as part of its ASEAN business expansion.
Home Credit Group plans to sell its businesses across ASEAN, said KBank Executive Vice-President Pattarapong Kanhasuwan.
"The deal is in the early stages and the bank needs to spend more time studying the feasibility and pricing before making a decision on bidding," he was cited by the Bangkok Post as saying.
In addition to Home Credit, the Thai bank is exploring other potential deals in Vietnam, he added.
Under its ASEAN 3 strategy, the bank eyes regional expansion via several business models for both organic and inorganic growth.
KBank, Thailand's second-largest lender by total assets, opened a branch in Vietnam in August 2022. The bank set a target of THB20 billion (about US$570 million) in outstanding loans and a customer base of 1.2 million in the country in 2023.
Pattarapong said for the Vietnamese market, KBank focuses its growth in three core areas: business scale, customer base and competitiveness.
Digital technology is a key strategy facilitating its business expansion. The bank's subsidiary, Kasikorn Business Technology Group (KBTG), set up a technology hub, KBTG Vietnam Co Ltd, which provides digital banking services in the country.
In a related development, Finnoventure Fund I, managed by Krungsri Finnovate, the corporate venture arm of Krungsri, is investing in MFast, a leading fintech startup with a banking service platform in Vietnam.
The leading financial services distribution network in Vietnam, MFast's network includes 160,000 active agents who work with customers in tier 2 and tier 3 cities throughout Vietnam.
MFast helps customers access financial services, including loans and insurance, as well as high-ticket items like home appliances from brands that don't usually open retail branches in rural areas.
