RHB Thailand raising capital for expansion

Remains intent on asset acquisition to fuel expansion.

RHB Bank Bhd Thailand, Thai unit of Malaysia's fourth-largest lender, intends to boost capital to go forward with an aggressive expansion plan.

Country head Thiti Musuwan said the bank's Bangkok branch has paid-up capital of US$67 million and will likely raise its capital base to attain growth plans for this year.

RHB aims for total asset growth of 45% to US$388 million this year. Plans call for expanding the total loan portfolio by 50% to US$201 million this year. Medium-sized Thai and foreign companies are the bank's target group, with most being Thai customers.

RHB also plans to open two branches upcountry pending approval by the Malaysian central bank. The Bank of Thailand allows offshore banks to open up to 20 branches nationwide under the second phase of the country's financial sector master plan.

With a commercial banking license, RHB Thailand can provide a full range of financial services such as retail banking. It now offers only wholesale banking.