Stocks in the news (AAV, GMMM) 03.05.13


TAA sets goal of 60 planes — Thai Air Asia is taking its fleet enlargement program a step further with 60 jets now expected to be flying by 2017. Chief executive Tassapon confirmed the newly revised fleet size, an upgrade from the previous goal of 53 by 2016 and 48 before that. (Bangkok Post, 03/05/13)

Comment: Minor upgrade for AAV, not surprising given the continued growth in travellers.


Grammy unit sells 22.12% holding in Matichon — GMMM sold its 22.12% in Matichon PLC for Bt470mn. The SET reported a big lot sale of 43.388mn Matichon shares by GMMM for Bt469.94mn, an average price of Bt11.09 each. The buyers were not disclosed. A Grammy executive said the sale of GMMM’s entire stake was made because Grammy wanted to raise funds to invest in digital TV, for which it has a budget of up to Bt5bn. (Bangkok Post, 03/05/13)

Comment: We think the Grammy has to raise a lot more capital if it is going to be bidding for the digital channels, it’s balance sheet in its current state is far too weak to take on debt to finance any plans going forward.

April inflation steady @ 2.42%

Key points are:

  • Food prices pushed headline inflation to 2.42%
  • Strengthening Thai Baht caused inflation to rise @ a slower pace
  • In 4M13, headline inflation rate was @ 2.9%YoY
  • The Commerce Ministry’s headline inflation forecast for the year remains @ 2.8% to 3.4%

So all in all, inflation not an issue, well done BOT, if it stays at these levels we don’t expect the BOT to cut rates going forward

130503 cpi


Management Trades – 22.04.13 to 26.04.13

Notable transactions

Buy(s) THB 134 mn

  • MAX – Chairman decides to buy THB 70 mn worth of shares, over 10% of the market cap, wonder what the story is with this steel co.
  • NMG – Vice Chairman obviously believes in the digital story for NMG

Sell(s) THB 746 mn

  • BGH – Rare sale of shares in BGH
  • GFM – Did the drop off in Gold spook the MD of this co? 
  • IRCP – 
  • METRO – Now this is a massive sale of nearly THB 560 mn 

130205 mgmt trades