SET-listed property developer Sansiri has launched a 1-billion-baht strategic investment programme over three years in a bid to support small and medium-sized enterprises (SMEs) as part of the company's strategy to increase revenue from non-core businesses.
The new business called Sansiri Growth Incubator will act as a growth accelerator for selected SMEs, helping to diversify Sansiri's revenue streams and drive the company's growth, said Napat Thavisin, president of international operations at Sansiri.
Just as the Thai real estate sector still has room for growth, many SMEs in the country also have high growth potential but need stronger infrastructure to accelerate their expansion, he noted.
Sansiri Growth Incubator plans to invest in SMEs in the real sector, including the manufacturers of fast-moving consumer goods and food and beverage, as well as companies in hospitality and lifestyle segments.
The goal is to scale up its partnered SMEs to expand up to 5-10 times within 3-5 years, Mr Napat said, adding that strategies for growth include product differentiation from peers while strengthening the founder's vision and mindset towards the business.
We want to step in as a partner to help Thai SMEs grow, which in turn will support Sansiri's growth, he said.
The initiative is also an opportunity for Sansiri to diversify its portfolio and increase its revenue from non-core businesses.
Non-core business contributed around 12% and 13% of Sansiri's total revenue in 2024 and 2025, respectively. The company wants the ratio to increase to 25% by 2030, said Mr Napat.
SYSTEM INTEGRATION
He said Sansiri is guided by the "Constructing Life, Not Just Building" ethos.
"We are committed to transitioning from developing projects to developing communities," said Mr Napat.
"Rather than creating standalone residential developments, we aim to build an ecosystem that curates premium services to appeal to customers and to differentiate Sansiri's projects."
The initiative targets SMEs in the real sector that offer products or services that can connect with Sansiri customers' lifestyles across the five sectors.
However, this does not necessarily mean the SMEs must open stores in Sansiri's residential projects in the future, he noted.
For example, hospitality is a targeted sector, and while a hotel may not be located within a Sansiri residential project, it can resonate with customers' lifestyle preferences, particularly in terms of holiday planning, said Mr Napat.
PARTNERSHIP FOR GROWTH
The programme's team will carefully evaluate SMEs with strong income and growth potential, he said.
"We will prioritise product differentiation and uniqueness within the sector, as well as the founder's vision and mindset," said Mr Napat.
The investment amount will be tailored to meet each project's specific needs following evaluation, he noted.
The programme will be flexible in its investment approach and does not necessarily need to cover all five targeted sectors within the three-year time frame, said Mr Napat.
He said the company aims to form partnerships with five SMEs this year, with the first deal expected to close in the first half of the year.
An important criterion is the business must be a local SME operating in Thailand.
Supakorn Congsomjit, vice-president of special projects and investment at Sansiri, said the company wants to invest in unique brands while mentoring them under its ISG framework, which stands for invest, scale and grow.
He emphasised the programme's focus on business in the grow stage should be a shared commitment to "Sansiri's DNA: speed to market, attention to detail, ownership, and good citizen".
Sansiri intends to hold no more than 20% of these SMEs' shares to ensure the founders remain the key drivers of the businesses, said Mr Supakorn.
The programme offers four pillars of support, including strategic counselling and back-office empowerment, which covers finance, procurement and legal matters.
Selected SMEs will also benefit from access to Sansiri's locations and premium customer base, creating a sustainable infrastructure that enables them to directly deliver their products and services to Sansiri residents at key touchpoints, he said.
The programme aims to create added value for long-term growth, paving the way for either continuous joint investments or exit pathways within 5-7 years, said Mr Supakorn.
The expanding businesses can be prepared for a possible private sale, mergers and acquisitions, or an initial public offering, he said.
One sector Mr Supakorn said he views as having strong growth potential is pet-related businesses, as more people choose not to have children and instead treat their pets as family.
"We offer much more than financial support as we intend to help build credibility through our expertise, business support, exceptional management and strategic counselling. We will help open new markets through our ecosystem," said Mr Napat.
"Through Sansiri Growth Incubator and its 1-billion-baht investment budget over three years, we are ready to close deals and add at least five businesses to our portfolio this year."
