Bangkok, May 9, 2008—IFC, a member
of the World Bank Group, today announced that it will invest equity in
Thailand’s ACAP Advisory Public Company, one of the largest independent
nonperforming loans asset management and servicing firms in Southeast Asia.
IFC will work with ACAP to develop an effective market for distressed debt
in East Asia to help improve the credit culture, ensure effective use of
assets, and increase transparency at financial institutions.
IFC’s 5 percent equity stake will support
ACAP’s expansion into new markets, particularly those where distressed
debt markets are at an early stage. This complements similar investments
in the region, including in China and the Philippines.
Vivat Vithoontien, ACAP’s CEO and Founder,
said, “We are delighted to welcome IFC as a partner. This is a milestone
in affirming our position as an established player in Asia’s financial
sector. Working with IFC and other partners, we will leverage our joint
credentials to expand and diversify our business and pursue many opportunities
in the region.”
Richard Ranken, IFC Director for East
Asia and Pacific, said, “IFC’s track record and regional reach, combined
with ACAP's expertise in dealing with nonperforming loans, should prove
valuable in developing distressed asset resolution in East Asian emerging
IFC, a member of the World Bank Group,
fosters sustainable economic growth in developing countries by financing
private sector investment, mobilizing private capital in local and international
financial markets, and providing advisory and risk mitigation services
to businesses and governments. IFC's vision is that people should have
the opportunity to escape poverty and improve their lives. In FY07, IFC
committed $8.2 billion and mobilized an additional $3.9 billion through
syndications and structured finance for 299 investments in 69 developing
countries. IFC also provided advisory services in 97 countries. For more
information, visit www.ifc.org.
ACAP began providing financial advisory
services to corporate clients in 2001, focusing on innovative solutions
tailored to its clients needs. The company has since diversified its services
to include nonperforming asset management and consumer financing. ACAP
initiated its nonperforming loans management business in 2004, and it is
now among the largest independent NPL asset management and servicing firms
in Southeast Asia. It currently manages NPLs amounting to about 80 billion
Thai baht in Thailand and Malaysia. ACAP has offices in Bangkok and Kuala
Lumpur as well as 10 consumer finance branches throughout Thailand.