TOKYO: Japan’s Mitsubishi UFJ, the country’s largest lender, said yesterday it planned to buy 75 percent of Thailand’s Bank of Ayudhya for about $5.6bn.
The deal, which is subject to regulatory approval, would be the biggest by a Japanese lender in Southeast Asia.
“With its potential for future growth and a track record of consistent economic growth, Thailand has become an economic centre of Greater Mekong,” Mitsubishi said in a statement.
“Thailand and Japan enjoy a close relationship with numerous Japanese companies now operating in Thailand,” it added.
“(Bank of Ayudhya) is one of the leading commercial banks in Thailand offering diversified financial services while holding wide range of client base and market knowledge.”
Mitsubishi said it would offer shareholders, including US-based General Electric, a price of 39 Thai baht ($1.25) per share.
The Japanese firm said it was aiming to close the proposed deal by December.
Internationally, the deal would be one of Mitsubishi’s biggest. It invested 900bn yen to buy a stake in Morgan Stanley in 2008, throwing the troubled Wall Street giant a lifeline during the financial crisis.
AFP
