Consumer lending company SB Finance Company Inc. (SBF) is tapping the P3 billion in fresh funds to be infused by its shareholders to reach the mass market and help reset economic growth in the new normal.
SB Finance is a joint venture between Security Bank Corporation and Thailand’s Bank of Ayudhya (Krungsri).
The firm has just launched its “Dito, Pwede!” campaign to raise awareness about SBF’s new loan products as more Filipinos look for a reliable financial partner that can help them bounce back from the effects of the pandemic.
“SB Finance’s goal is to create products and services to support the average Filipino and the small businessmen in their financial needs while creating a customer-centered journey in the new digital normal,” said SB Finance President and CEO Abbie Casanova.
Casanova added that, “To do this, we needed a strong partner who has an extensive experience in the field of consumer finance who can guide us in the right direction.”
“Since Krungsri has successfully acquired a 50 percent stake of ownership in SBF on October 20, 2020, we have been supporting SBF through our expertise and leadership in Thailand’s consumer finance encompassing product development, marketing, and sales channel enhancement as well as risk management,” said Krungsri Senior Advisor Dan Harsono.
He added that, “We are set to launch multiple products this year and this also further cements Krungsri’s strategic partnership with Security Bank to foster financial inclusion in the Philippines and demonstrates Krungsri’s commitment to our ASEAN expansion strategy toward our aspiration to ‘be the preferred Thai bank connecting customers’ needs across ASEAN’.”
In February 2021, Security Bank and Krungsri, the fifth largest financial group in Thailand, have obtained board approvals to infuseP3 billion into SB Finance upon receipt of requisite regulatory approvals.
The additional capital will be used to fundinvestments in the latest cloud-based technology to support end-to-end customer journeys that are built on continued digital transformation.
The partnership between the two banks is a result of Security Bank and global partner MUFG’s goal to expand global partnerships while growing local talent and expertise. In 2016, the Security Bank completed its strategic partnership deal with MUFG, with the latter buying a 20 percent stake into Security Bank.
Since then, both banks have leveraged on their combined networks and capabilities to collaborate on various initatives, such as the joint venture of SB Finance and Krungsri.