...May 31, 2022 SINGAPORE (S&P Global Ratings) May 31, 2022--KASIKORNBANK PCL (KBank) can strengthen its regional presence by entering the lucrative Indonesia market through its planned acquisition of a majority 67.5% stake in PT Bank Maspion Indonesia Tbk. (Maspion). Maspion is smaller than KBank, at less than 1% of its total assets, and will not materially affect the bank's overall financial profile. Our rating on KBank (###/Stable/A-2) does not change. Indonesia presents a good growth opportunity, given that it has one of the largest unbanked population in the world; in stark contrast to Thailand's aging demographics. Interest margins are also significantly higher compared with Thailand's, although KBank would have to contend with greater volatility and risks associated with emerging markets. Overall, we believe that business benefits are balanced against credit risks and capital impact. Thai banks have been seeking overseas opportunities for growth and yield enhancement. In 2021, KBank...
