MANILA — Home Credit Philippines or HC Consumer Finance Philippines Inc said on Friday it was acquired by Thailand's Bank of Ayudhya PCL or Krungsri and Japan's Mitsubishi UFJ Financial Group for P24.4 billion.
Home Credit Philippines' parent Czech Republic-based PPF Group inked the deal with MUFG and Krungsri, it said.
Krungsri will hold 75 percent while MUFG will get the remaining 25 percent, the company said.
The acquisition is part of its ASEAN strategic expansion plans,
according to Krungsri President and Chief Executive Officer Kenichi Yamato.
"By incorporating Home Credit in the Philippines into its portfolio, the Bank aims to cater to the evolving financial needs of consumers with a full range of innovative consumer finance products and services," Yamato said.
Home Credit Philippines said it is expected to retain its brand and continue its business as usual under the same local leadership team with guidance from Krungsri.
“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,” Home Credit Philippines’ CEOD avid Minol said.
Home Credit said the transaction would boost its business operations in the Philippines in terms of providing access to credit for Filipinos.
Home Credit said its customer base has grown to almost 10 million.