BAM Prepares to Acquire 200 Million Baht in Assets, Targets Net Profit Breakthrough of 2 Billion Baht
BAM plans to purchase 10,000–20,000 million baht in additional assets during the second half of 2025 as it shifts to AI-driven debt acquisition focused on hotels and office buildings. The firm targets net profit of at least 2,000 million ba
Bangkok Asset Management (BAM) CEO Raks Vorakitphokathorn announced that the company's overall performance in the first half of 2025 is satisfactory. However, all businesses, including the real estate sector, are facing significant challenges, prompting BAM to adopt a new business paradigm. Over the past 13-14 months, the company has restructured its business model, emphasizing cost structure management and strategically selling properties that generate the highest profit margins. The company has accelerated the disposal of long-held assets, reducing the proportion from nearly 40% to just over 20%. BAM is focusing on selling smaller-priced properties, such as Phlat Plathong apartments, to low-income groups, freelancers, and security guards, enabling them to purchase housing through installment plans. This strategy generated approximately 1 billion baht in collections over the first five months of 2025.
Vorakitphokathorn stated that beyond its social benefit, this approach also reduces the company's debt reserve burden, expected to drop by half year-on-year to 1 billion baht. In the first half of 2025, BAM acquired approximately 10 billion baht in new assets and expects to acquire an additional 10,000-20,000 million baht in the second half. The company is also expanding into the middle and wealthy customer segments through "BAM Premium," offering assets valued at 30-50 million baht. This year, BAM targets 17.9 billion baht in collections and net profit of no less than 2 billion baht.
"In the first half, we acquired about 10 billion baht in new assets. In the second half, we'll add 10,000-20,000 million baht more because our NPL portfolio is two to three times larger than our second and third-ranked competitors. We only refill when we believe our tank is nearly empty," Vorakitphokathorn said.
Vorakitphokathorn explained that BAM has shifted its debt acquisition strategy from bulk purchasing to utilizing AI technology to analyze market demand in advance (Create Demand). The company now focuses specifically on hotel, shopping mall, and office building assets, which remain underrepresented in its portfolio, while reducing purchases of single-family homes and townhouses due to declining demand and difficulty in sales. The company currently holds approximately 30,000 units of these properties. However, hotel-type properties are currently the easiest to sell, reflecting the recovery of the tourism sector.
"BAM has adjusted its operational strategy over 13-14 months, shifting from the old approach of acquiring debt first and hoping buyers would emerge, to analyzing market demand before purchasing. It's like checking what customers order from the menu before cooking in the kitchen—creating demand rather than buying large supplies and searching for buyers afterward. Hotel properties are currently the easiest to sell, and after our portfolio adjustments, I believe BAM has strengthened considerably," Vorakitphokathorn said.
Vorakitphokathorn noted that Thailand's real estate market is currently facing a "sandwich problem," where young professionals (First Jobbers) cannot obtain loans, while older, retired people still have outstanding home payments.
