Group Lease announces exclusive 5-year partnership with the exclusive Myanmar distributor of Bajaj three-wheeler vehicles (Tuk Tuks)
October 16, 2018 – GL-AMMK becomes the exclusive third-party financing agent for Bajaj’s three-wheeler vehicles in Myanmar. GL-AMMK, which already is the exclusive third-party financing servicer for Honda motorcycles in Myanmar, continues to expand in this rapidly growing market by creating exclusive relationships with global brands.
Mr. Tatsuya Konoshita, Chief Executive Officer of Group Lease Public Company Limited, disclosed today that GL-AMMK, GL’s subsidiary in Myanmar focused on servicing motorcycle financing, signed a Memorandum of Understanding (MOU) on October 8, 2018 with Bajaj’s exclusive Myanmar distributor. The MOU stipulates that GL-AMMK in Myanmar will be the exclusive third-party finance servicer for all authorized Bajaj dealers in Myanmar for three-wheeler vehicles. The agreement covers both new and pre-owned three-wheel vehicles.
“This partnership is a part of our 5-year strategic plan to development new business relationships and a continuation of the GL’s vision to build low-cost Points of Sale (POS) throughout Southeast Asia to meet our mission of providing innovative finance products to emerging entrepreneurs and consumers. Bajaj’s three-wheeler products offer an affordable means of transportation of people and goods which will improve the quality of life and economic development of our customers” Konoshita said.
Mr. Kaname Hashimoto, Managing Director of GL-AMMK, explained “there are currently 31 Bajaj three-wheeler dealers in Myanmar and the three-wheeler taxi market is continuing to grow fast with some mobile taxi application services. Coupled with GL-AMMK’s current 114 POS locations through our partnership with Honda motorcycle distributor and dealers, we will be able to serve an even greater number of customers quickly and contribute to expand the Myanmar financial sector.”
GL has two subsidiaries in Myanmar: GL-AMMK, which focuses on servicing asset-backed products such as motorcycles, three-wheelers, and entrepreneur loans, and BGMM which focuses on traditional micro-group lending to female entrepreneurs. BGMM currently has 41 branches in Myanmar. With this new partnership, GL shows that it is in line with the 5-year plan and Myanmar will be one of the major growths of GL.
Bajaj, originally from India, is the world’s largest producer of three-wheelers at roughly 1 million per year. They have a presence in 36 countries and a market share of 97% of three-wheelers in ASEAN. Bajaj entered the Myanmar market just last year and already have sales exceeding 1,000 per month and continues to grow exponentially. Their three-wheeler product, RE Compact, sells for about THB 90,000 – 95,000, making it an affordable choice for emerging entrepreneurs.