9 Basil, the strategic Southeast Asian private equity counterpart to investment firm, Blueprint Forest (BPF), is to support Alpha Capital to form the largest independent asset management company (AMC) in Thailand.
9 Basil, which first acquired its stake in Alpha Capital in 2019, is an independent funds management business with a Southeast Asian private equity platform that places a unique emphasis on Thailand. 9 Basil is focused on private markets and boasts an active portfolio management strategy to derive synergies between the managing partners, limited partners and BPF’s wider network.
Following the role that 9 Basil played in the successful IPO of Ngern Tid Lor (NTL) in May 2021 – a stock exchange listing that broke Thai private equity records – it will now support Alpha Capital as it aims for an IPO of its own in 2022. 9 Basil’s continued work with Alpha Capital has created the largest independent AMC in Thailand, as the investment firms join forces to take on the ripe distressed investing environment in the region.
9 Basil is bolstering its distressed asset investment strategy; the private equity firm continues to allocate capital to Alpha Capital while also acquiring real estate directly from developers requiring liquidity. In recent years, 9 Basil has accelerated its pursuit of opportunities in the distressed real estate development sector. The Thai private equity firm is now looking to buy additional real estate assets, with a particular focus on completed or near-completed projects. While the firm’s current focus is on residential property, 9 Basil also expects growth in the number of opportunities arising from the commercial real estate and hospitality property markets.
PitchBook recently described distressed investing as a “hot topic now, with so many businesses in a deep freeze” as a result of the pandemic. In recent weeks, data and analytics provider Preqin also revealed that the number of global distressed debt funds has “swelled to a record high” as interest in the sector grows steadily in Asia. 9 Basil, which is currently in the process of raising another USD500 million fund, sees a substantial opportunity in distressed investment, a market that could eventually be worth an estimated USD32 billion.
Schwin Chiaravanont, Co-Founder and Managing Partner at 9 Basil, says: “At 9 Basil, we are very excited about our future with Alpha Capital and we have great belief in the firm’s impressively experienced management team. Alpha Capital is without a doubt the most financially efficient operator in the AMC space. The management team has been at the helm of Alpha Capital throughout challenging economic circumstances since the Asian Financial Crisis, making them true experts in the field of distressed investment. Alpha Capital’s systems are second to none and they have only continued to improve each year since. We are eager to replicate the success of our recent NTL IPO with Alpha when we help take the firm public in 2022.”
Kris Panijpan, board member at Alpha Capital, adds: “We invested in Alpha Capital because they were the most capable distressed debt management team in Thailand. With the business cycle supplying increasing opportunities in this space, we will look to back Alpha Capital into becoming leaders in this sector, in size, scope and innovative uses of technology. The timing is right for us to enlist the support of the capital markets. 9 Basil has expertise and experience in raising market awareness of the unique strengths of our portfolio companies. We see Alpha Capital as a core component of our Thai distressed asset strategy.”
