ING sees Thailand's economic growth potential

Bangkok Post (11 Nov 2007)

The Netherlands-based ING Group will invest in TMB Bank Plc for the long term because it believes in Thailand's economic growth, according to a group senior executive.

Hans van der Noordaa, a member of the ING Group's Executive Board, said the group's decision to purchase capital increase shares of TMB worth 460 million euros or around Bt23 billion was made because it viewed the group's business would benefit from Thailand's economic growth in the future.

He said the group could count on 472 branches nationwide of the former Thai Military Bank as distribution channels for its financial products in Thailand.

Founded in 1957, the bank in 2004 merged its operations with DBS Thai Danu Bank and the Industrial Finance Corporation of Thailand. In 2005 it rebranded itself as TMB Bank PCL.

TMB Bank is Thailand's sixth largest commercial bank, with assets of 648.17 billion baht.

Mr. van der Noordaa said he was confident that his bank's partnership with TMB would help move up the bank's position to a higher level in the country.

He planned to discuss with the board details of future business plans in due course. Its urgent mission is to accelerate reduction of non-performing loans incurred by the bank.

It is expected the business plans would be completely mapped out in the fourth quarter of this year.

Regarding reports that there would be a management change or a dismissal of Supak Sivarak, president of TMB, he said it is too early to give the answer on this matter.

It is the duty of senior executives to discuss the matter and form a new management team, he said. (TNA)