Collectius acquires debt servicing business

Collectius acquires debt servicing business

Collectius, a restructuring partner for financial institutions in Asia, has acquired Magnate Group Plus Co, one of Thailand's top five debt servicing companies.

Collectius has been licensed by the Bank of Thailand since 2016. It has purchased a total of US$369 million (12.2 billion baht) worth of unsecured consumer non-performing loans (NPLs).

Regarding the debt landscape in Thailand, the central bank and financial institutions are concerned about rising NPLs due to Covid-19 and are monitoring affected industries.

The central bank recently introduced its third round of debt relief for consumer loans.

"When it comes to debt purchase and debt servicing, Thailand is often considered one of the most mature markets in Asia. This is because of a relatively high NPL ratio and well-established governance and regulations from authorities and the central bank," said Gustav Eriksson, group chief executive of Collectius.

"In that context, being the leading restructuring partner in Asia, we see this acquisition as the next phase of growing and deepening Collectius' presence in Thailand. While we are uniquely positioned given our strong ability to purchase and service non-performing consumer debt, acquiring Magnate has further bolstered our debt servicing capabilities. The move increased our local customer base by more than 70%, from 300,000 customers to 500,000 customers."

Pimmada Jiaranaipreeda, managing director of Collectius (Thailand), said the acquisition allows Collectius to tap Magnate's localised market expertise and its highly experienced team of mediators to better serve Thailand's growing market.

With a team of 350 employees on the ground, Collectius said it is now better positioned to engage local customers through open dialogue to propose bespoke, flexible and affordable repayment solutions.

Do you like the content of this article?

Under-pressure Green hangs on as Phachara makes move in Singapore

Thailand's Phachara Khongwatmai moved to take a share of the third-round lead with Malaysia's Gavin Green after signing for a three-under-par 69 at the International Series Singapore on Saturday.

13 Aug 2022

Man City, Arsenal maintain perfect Premier League start

MANCHESTER (UNITED KINGDOM) - Manchester City stormed ominously to the top of the Premier League by cruising to a 4-0 win over Bournemouth, while Gabriel Jesus opened his Arsenal account in a 4-2 win over Leicester on Saturday.

13 Aug 2022

Chinese gambling kingpin taken into custody in Bangkok

Authorities in Bangkok have detained a controversial Chinese businessman who is the subject of an international arrest warrant for allegedly running an illegal online casino, police said Saturday.

13 Aug 2022