Vietnam remains an attractive destination for Thai investors who are venturing into the neighboring country to capitalize on promising opportunities.
Just last week, SCBX Public Company Limited (SCBX), Thailand’s fourth-largest bank by assets, revealed its acquisition of all the charter capital in Home Credit Vietnam for VND20.97 trillion (approximately $860 million). This move reflects the Thai bank’s ambition to extend its reach across Southeast Asia.
Home Credit Vietnam, a part of Home Credit Group established in 1997 in the Czech Republic, operates across Asia and Europe under the ownership of PPF Group, an international investment company.
Arthid Nanthawithaya, CEO of SCB X, expressed, “The acquisition of Home Credit Vietnam signifies a significant milestone in SCBX’s quest to emerge as a top regional financial technology group. This strategic move bolsters our presence in the rapidly growing ASEAN market and enhances value for our shareholders in the long run.”
Nanthawithaya added, “Vietnam, with its robust economy boasting an average GDP growth of 7.5 per cent over the past decade and a tech-savvy populace, holds strategic importance for SCBX. This acquisition heralds SCBX Group’s entry into Vietnam, a country with a population exceeding 100 million. Home Credit Vietnam boasts a customer base of 15 million, operates across 14,000 point-of-sale locations, and boasts an adept management team comprising European and Vietnamese professionals.”
In early February, Central Pattana, Thailand’s foremost retail property developer and a member of Thailand’s Central Group, announced its subsidiary CPN Global Co., Ltd. establishment in Vietnam.
Similarly, WHA Group, Thailand’s premier developer of industrial estates, logistics facilities, industrial utilities, and power, is advancing its presence in Vietnam. Besides the ongoing development of WHA Industrial Zone 1 – Nghe An, which has seen phase 1 achieve over 77 per cent occupancy and phase 2 in the pipeline, the company has blueprints for three more industrial zone projects.
Thai Ambassador to Vietnam Nikorndej Balankura highlighted to local media that Thailand has emerged as Vietnam’s largest trading partner within ASEAN, with total trade nearing $20 billion. Thai investments in Vietnam have tripled to 735 projects valued at over $14 billion, positioning Thailand as the ninth largest foreign investor in the country.