MANILA, Philippines — Lender Security Bank Corp. (SBC) has teamed up with Bank of Ayudhya, the fifth largest financial group in Thailand and a member of Mitsubishi UFJ Financial Group (MUFG) network, in the consumer finance business.
SBC agreed to sell a 50 percent stake in its consumer finance unit SB Finance (SBF) Co. to Bank of Ayudhya, commonly known as Krungsri.
The partnership intends to provide “top-notch” consumer finance products to more Filipinos and strengthen the relationship between SBC and Krusngri, which have Japanese banking giant MUFG as a common shareholder. The banks plan to jointly explore opportunities in personal loans, motorcycle loans, and insurance.
“SBC and Krungsri are both committed to accelerating customer-centricity in banking. By localizing the strategies that propelled Krungsri to become Thailand’s market leader in consumer finance, SBF is well-positioned to scale the business faster, launch better and more innovative product variants, serve more customers and, in effect, substantially grow its market share in retail business,” SBC president and chief executive officer Sanjiv Vohra said in a disclosure to the Philippine Stock Exchange on Friday.
Krungsri president and chief executive officer Seiichiro Akita said: “We are very pleased to partner with a leading financial institution like Security Bank. Together, the two banks will join hands in developing and delivering quality consumer finance products to people in the Philippines. With expertise and experiences from both sides, the collaboration between Krungsri and SBC will enhance SBF’s business competitiveness while penetrating and serving the Philippines’ high growth consumer finance market.”