What does the company do?

Thai consumer lender offering credit card services and personal loans for household products to mid- and low-income earners.

Why do we like the investment?

We like Aeon Thana’s extremely effective credit risk management system which has enabled the group to grow while maintaining an acceptable level of bad debts in the 2-3% range, supported by excess provisions. This has been possible largely due to the backing of Aeon Group, Japan’s largest retailer, as well as the company’s focus on quality customer service which has given them a sticky customer base. Encouragingly, Aeon Thana’s average customer today is still below the age of 30 given their apt use of technology to target new clients. This suggests that the company is well-placed to sustain their market share and continue to grow alongside their customer’s financial journey.