SECB (Security Bank) and Krungsri (Bank of Ayudhya Public Company Limited) settle for a partnership after getting approval from their respective countries, the Philippines and Thailand. This allowed Krungsri to have a 50 percent stake. It is one of the financially strong groups in Thailand, as well as, s a 76.88%-owned subsidiary of Mitsubishi UFJ Financial Group (MUFG) Bank, Ltd which is also a shareholder of SECB.
In September 2019, it was confirmed by the Philippine Competition Commission (PCC) that SECB will have a 49.72% stake after the sale. During the transactions, the sale of more than 7 million shares took place at overall PHP 1.5 billion per share which was to be paid through cash. This was between SB Finance to Krungsri.
To improve financial inclusions, this partnership is all set to improve the SECB’s digital and retail lending.
BUY with a Target Price of PHP 134.90.