Bangkok--1 Nov--TCRB
Thai Credit Retail Bank (TCRB) recently restructured the management and brought in new management to lead the bank. The new management leaders; Khun Winyou Chaiyawan as the CEO, and Khun Roy Gunara as the Managing Director of the bank.
The change in the managements is initiated to develop new strategy to focus on the small business and micro segment. In the last 6 years we have been growing in housing loan, auto loan, and SME loan. These segments are highly competitive and dominated by larger banks. The bank considers that there are large opportunity in small business and micro finance that are currently lack of focus from the larger banks. The bank brought in new management with the expertise in small business and risk management to build and grow the bank to be a leading niche market player in this segment.
TCRB now has Capital Adequacy Ratio of 12.95% while the minimum requirement from BOT is 8.5%. And in order to support the growth of the bank, TCRB shareholders are planning for capital increase to strengthen the financial position. The shareholder is expected to inject 500 million baht before the end of this year, and additional 500 million baht in 2013, to a total of 1 billion baht new capital. Currently, the bank is also in discussion with new investors, who are interested to invest in the bank.
The total asset of the bank is 24 billion baht, with portfolio in housing loan, auto loan, gold loan and SME loan. The bank also own Thanaban, a motorcycle financing company wholly owned by TCRB which currently focus on the micro segments.
TCRB operates mainly in outskirt of Bangkok, and after the recent flood, TCRB portfolio is impacted. However, the increase in NPL is temporary, and in the last few months NPL is reducing. Currently the bank NPL is at 4.35%. In September 2012, the NPL amount in fact reduced as a result of strengthening the collection and the bank is confident that it will continue to reduce.