Asia-Pacific asset management firm Ares SSG has announced a long-term target for investing up to 15 billion baht in Thailand over the next five years.
The asset manager is targeting further investment having deployed over 11 billion baht since 2016, building a track record of providing "bespoke investment solutions", including both credit and equity investments, to help Thai companies build resilience and unlock potential value.
Target sectors for the next phase of investment include real estate and hospitality, where access to liquidity and specialist financing expertise are especially needed to help quality businesses navigate short-term financing pressures brought on by the pandemic.
In the longer term, Ares SSG plans to invest in a wide range of industries including financial institutions, retail and industrial businesses.
Ares SSG entered the Thai market in 2016 through the acquisition of Alpha Capital Asset Management, a Bangkok-headquartered asset management firm, from GE Capital and Ratanarak Group.
The firm has worked with Alpha's management to institutionalise the business, paving the way for future growth with loans under management increasing by over 35% and headcount more than doubling.
As of the end of June 2020, Alpha managed 18 billion baht in principal loans across more than 3,000 borrowers, including assets under servicing arrangements.
Ares SSG's partnership with 9 Basil, a Bangkok-based multi-family investment manager led by Schwin Chiaravanont and Kris Panijpan, seeks to identify joint investment opportunities, particularly focused on real estate developers facing liquidity difficulties as a result of the outbreak.
At the end of last year, 9 Basil co-invested in Alpha following an introduction from Ares SSG.
"Ares SSG's ambitious investment target is a testament to our confidence in the long-term prospects for Thailand," said Andreas Vourloumis, co-founder of Ares SSG.
Thailand is the second largest economy in Southeast Asia and has strong financial policies underpinned by a stable currency and good credit ratings, he said.
"We are excited to have the opportunity to expand in Thailand and look forward to collaborating with many more high-quality businesses and helping them achieve their potential," said Mr Vourloumis.
"Ares SSG is committed to leveraging its substantial network and experience to invest across Asia to support the growth of Thai companies."
Ares SSG is an alternative asset management firm specialising in credit and special situations investing in Asia-Pacific.
Since being founded in 2009, Ares SSG has managed and invested in more than 100 companies in China, India, Southeast Asia, South Korea, Australia and other Asian markets.