The Japanese bank Mitsubishi UFJ plans to take a majority share in the Thai Bank of Ayudhya for 4 billion dollars (3 billion euros).

If it goes ahead, it will be the largest acquisition by a Japanese bank in Asia. Mitsubishi, one of Japan's largest banks, has been wanting to take over General Motors' stake in Ayudhya for some time, but the Thai regulator has questioned the negotiations.

Thai law requires banks to have only one company that receives savings from the public, and Mitsubishi already has banking operations in Thailand.

To circumvent these objections, Mitsubishi will take a majority stake in the Bank of Ayudhya and the Thai bank will merge with the Japanese group.

An acquisition is in line with the trend among Japanese banks to expand internationally. Last month, Sumitomo Mitsui Financial bought a 40 percent stake in Indonesian bank BTPN for $1,5 billion.

1 thought on “Japanese bank wants to take over Thai Bank of Ayudhya (Krungsri)”

  1. Jacks says up

    The Thai government will be “not amused” with this participation cq. acquisition.
    The sacred cows are being cracked anyway!

    It would be the beginning of the large penetration of foreign companies into Thai companies.
    Pay attention to the other listed Thai companies, because many are bite-sized pieces for the large foreign investors, hence the large increase in the Thai stock exchange over the past 2 years (+60%)!


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