Singapore’s Sea Group has expressed interest in acquiring Thailand’s new virtual banking licenses, according to several media reports.
Along with four other consortia, Sea Group is set to submit their applications for the permits before the Bank of Thailand’s deadline on September 19.
Sea Group intends to bid for the permit through Seamoney Thailand, which currently offers digital financial services, payments, and lending through ShopeePay and SPayLater in the local market.
Earlier this year, business tycoons and big corporations were reported to be racing to process the application for the licenses of Thailand’s first virtual banks.
True Corporation Public Company Limited (SET: TRUE), a telecommunication arm of CP Group, stated that the company and its partners, including Ant Group, were preparing for a bid to acquire the license of virtual bank, as it observed importance of advanced technology in the financial industry and that the license could benefit the company to approach a large group of consumers.
Meanwhile, Gulf Energy Development Public Company Limited (SET: GULF) also noted that the company would apply for a bid in partnership with Krung Thai Bank Public Company Limited (SET: KTB), Advanced Info Service Public Company Limited (SET: ADVANC) and PTT Oil and Retail Business Public Company Limited (SET: OR), as it emphasized for the hope that the bid for virtual bank would help the company to expand itself into online businesses such as cryptocurrency trading and digital lending.
Another conglomerate was SCB X Public Company Limited (SET: SCB), partnering with South Korea’s KakaoBank and China’s WeBank, a renowned international digital bank recognized for its cutting-edge technology.
Earlier this month, VGI Public Company Limited (SET: VGI), a subsidiary of BTS Group Holdings Public Company Limited (SET: BTS), announced its plan to enter the competition alongside undisclosed partners. VGI has experience in finance and digital services through Rabbit Card and Rabbit Cash, and excels in integrating financial, data, and technological capabilities.
The Bank of Thailand revealed terms and conditions for the application to acquire the license of virtual banks on 4 March 2024, with the aim to support SMEs, underserved and unserved people. The application for the establishment of virtual banks can be applied from 20 March to 19 September 2024, while the name of the bidding winners will be announced next year, with the license being limited to only three.
