MANILA -Thai bank Krungsri and Japanese banking giant Mitsubishi UFJ Financial Group (MUFG) have jointly acquired consumer finance company Home Credit Philippines for about P24.4 billion, with the buyout seen bolstering its business while retaining the brand it has established for nearly a decade.
The Philippine unit of Dutch consumer finance company Home Credit BV said the two foreign institutions had bought all its shares from parent company, Czech investment firm PFF Group, for a price tag of 406 million euros (P24.4 billion).
Thailand’s fifth largest bank, Krungsri or Bank of Ayudhya Public Company Ltd., now owns 75 percent of Home Credit Philippines, while MUFG holds the remaining 25 percent.
This deal widens the footprint of Krungsri in the Philippines. In 2020, the Thai bank also acquired 50 percent of SB Finance Company, the consumer finance unit of Security Bank Corp.
“Together with our new shareholders, we are opening the next chapter for Home Credit Philippines, building on the high performance that we have set over the past nine years. We are optimistic of our future together,” said David Minol, CEO of Home Credit Philippines.
“The acquisition of Home Credit Philippines is a testament to the strong business it has established in the country and the growth opportunity that Krungsri and MUFG have seen for the company to further expand and maintain its dominance in the local consumer finance market,” he added.
Home Credit Philippines is targeting to reach 10 million customers in 2023, a new milestone for the company.
Consumer loan provider Home Credit to serve 10M clients this year
Today, it has 15,000 partner stores across 75 provinces out of a total of 81 in the Philippines.