Creador, which recently bought 18 percent of Asialink Finance Corp., projects Asialink to grow exponentially in the years forward now that it has more resources to address substantial unmet demands for loans from the largely unbanked small and medium enterprises.
Omar Mahmoud, managing director at Creador, a leading private equity firm in South East Asia, said at the celebration of its P4-billion investment in Asialink that the lender is only scratching the surface of providing financial assistance to SMEs.
Ninety-nine percent of the 1.2 million registered businesses in the Philippines are SMEs and Asialink has served around 200,000 of them so far, he said.
Asialink, with Creador’s investment and proceeds from other funders like local banks, DFIs and major international lenders, will expand its presence the country to reach more of the unbanked businesses so they can grow their operations, generate jobs, and improve their lives, Robert B. Jordan Jr., Asialink CEO, said.
Mahmoud said in jest his only regret was that he wished he invested in Asialink when it had a starting capital of only P3 million in 1997; now, Asialink is valued at over P20 billion.
“In 2022, we spoke to approximately 50 financial services companies in the country and it became clear that Asialink was the natural fit for Creador given its leading market share and long-term track record”, he said.
Now Asialink, through Creador, has indirect investors from global development finance institutions, large pension funds, and university endowments.
Jordan said Asialink will introduce new products and services as it bolsters its presence nationwide and improves its internal efficiencies. Mahmoud touted the visionary leadership of Jordan who, as a loan officer of a bank, saw the SME lending vacuum.
Jordan said he pitched his proposal to many but eventually it was the family of Ruben Lugtu II, Asialink chairman, who provided the funds to start Asialink. Lugtu heaped praise on Jordan for Asialink’s growth, and Mahmoud said he hopes that Creador’s hands-on approach will also lead to meaningful upside for the group.
