Leading Japanese credit card company Credit Saison, the foreign investor of consumer finance firm HD Saison in Vietnam, is showing its commitment in the Southeast Asian market, which will benefit Vietnam and Indonesia.
|Credit Saison is expanding in Southeast Asia, starting with Vietnam and Indonesia |
Japanese financial services group Credit Saison has just confirmed its plan to expand its investment in Southeast Asia, with an initial commitment of around $9.6 million for local lenders.
The Tokyo-based firm is one of Japanese leading credit card companies issuing Visa, MasterCard, AmEx, and affinity cards carrying its Saison brand to some 25 million cardholders. In addition to issuing plastic, Credit Saison provides financial services and products including insurance and asset management.
According to Nikkei Asia Review, Credit Saison will finance such projects as lending to low-income borrowers and microenterprises in a practice known as impact investing.
Vietnamese and Indonesian companies are likely to be among the first to receive backing through this initiative, which will go through its Singapore investment subsidiary Saison Capital.
Credit Saison expressed interest in tapping into overseas potential due to mature domestic market, saying it will establish a fund with other Japanese investors and eventually branch out to India and other areas in South Asia.
In Vietnam, the company will partner with local banks on consumer loans for motorcycles and appliances, as well as begin issuing credit cards broadly.
Currently, HD Saison – the subsidiary of local lender HD Bank and Credit Saison – is one of the largest consumer finance companies in the country.
Ealier this year, the State Bank of Vietnam approved increasing the charter capital of HD Saison. After the capital hike, HD Bank holds 50 per cent of the stakes in the consumer finance firm while Japanese investor Credit Saison and Ho Chi Minh City Securities Company own 49 and 1 per cent, respectively.
HD Saison is allegedly preparing the groundwork for an initial public offering.