Collectius, the leading restructuring partner for financial institutions in Asia, has acquired Magnate Group Plus Co., Ltd, (Magnate) one of Thailand’s top five debt servicing firms. It is an established and trusted partner for financial institutions in Thailand with a strong legacy spanning over 20 years. Due to its consistent performance, level of compliance, and strong corporate governance, it has managed to foster solid relationships with key local players in banking and non-banking sectors. Magnate currently services customers from banks and other commercial clients, covering more than 20 products, including personal loans, credit card loans and nano-finance services.
Collectius is licensed by Bank of Thailand (BoT) since 2016. Till date, it has purchased a total of US$ 368.7M (THB 12.2 billion) worth unsecured consumer NPLs. Regarding the current debt landscape in Thailand, central bank and financial institutions are concerned about rising non-performing loans (NPLs) due to Covid-19 and are closely monitoring impacted industries. BoT recently introduced its third round of debt relief for consumer loans.
Commenting on the acquisition, Gustav A. Eriksson, Group CEO at Collectius said “Today, when it comes to debt purchase and debt servicing, Thailand is often considered as one of the most mature markets in Asia. This is due to relatively high NPL ratio and well-established governance and regulations from the relevant authorities and the Central bank. In that context, being the leading restructuring partner within 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. It has increased our local customer base by more than 70%, from300,000 customers to 500,000 customers.”
Pimmada Jiaranaipreeda, Managing Director at Collectius (Thailand) added “Through this acquisition we are now able to tap on Magnate’s localised in-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, we are now better positioned to engage local customers through open dialogues to propose bespoke, flexible, and affordable repayment solutions. On behalf of all the team at Collectius, I would like to thank Jerawas for her phenomenal work, leadership, and dedication in building Magnate to where they are today, and she will be supporting us during the transition.”
Jerawas Wongsavan, Magnate’s founder said “Magnate has been ranked as one of the top collection agencies in Thailand. With our accumulated wealth of experience and Collectius’ strong foundation and high performing management team, I am confident that this acquisition will bring long-term and sustainable growth for both our companies and our people, who have always been the core asset of our success. They will have new opportunities to reinvent themselves and be the best they can be and I truly believe that Collectius is perfectly positioned to help them do that”.
The acquisition has created synergy among employees as both firms share similar values and culture. Hence, Magnate’s employees stand to benefit from the collaboration, global exposure, and valuable training opportunities that Collectius brings to table.
Collectius is recognised for modernizing the traditional debt management industry in Asia by digitally transforming and humanizing the process of recovery. BeyondThailand, Collectius is looking to expand its debt purchasing solutions for financial institutions, to include India, Vietnam, and Singapore.
Collectius is the leading restructuring partner for financial institutions in Asia. With operations in Singapore, Indonesia, Philippines, Malaysia, and Thailand, it has a growing footprint of three million customers across these markets. Collectius aims to transform the debt management industry in Asia. Its processes are specifically designed to provide an end-to-end digital user experience that is secure, simple, and frictionless. It is digitally driven to facilitate an efficient and professional mediation process, that sets the benchmark for the wider industry. Collectius is majority-owned by its two founders Gustav A. Eriksson and Ivar Björklund, with the remaining owned by International FinanceCorporation (IFC), Stena AB and Formica Capital.
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