Stocks in the news (bjc, drt, kbs, sc, scc, seaoil, true) 26.08.13


Sets up Lao subsidiary — BJC said that the company has set up a new subsidiary in Laos named BJC-MPM (Laos) Sole Company Limited, registered on August 14th with capital of Bt103.53mn, to provide consulting service on trading and investment in Laos. BJC-Mpoint International Company Limited, a 51% owned subsidiary of BJC, holds 100% of registered in BJC-MPM. Source of funds for BJC-MPM will be through the company’s working capital and the set up of the company is part of the company’s long-term investment plan. (Khao Hoon, 26/08/13)

Comment: I just came back from a trip to Vientiane and the influence of Thai companies on the business scene there is incredible, from the mobile networks to TV to confectionary


To pay interim dividend —DRT’s board has approved an interim dividend payment of Bt0.20/share after net profit for the 1H13 reached Bt293.15mn; XD will be on Sept 4, 2013 and dividends paid on Sept 19. The company is confident that business will continue to grow through second half of the year despite a slowdown in the economy, supported by its team and strong sales channels. (Khao Hoon, 26/08/13)


KBS enters venture with Mitsui — KBS joined with Mitsui group to penetrate international markets and to become one of the world’s largest sugar exporters. Most recently, the board has okayed a 1H13 dividend of Bt0.20/share after profit for 6M13 reached Bt495mn. (Khao Hoon, 26/08/13)

SC Asset takes low-rise local focus – SC Asset Corporation Plc, the SET-listed property arm of the Shinawatra family, plans to launch only low-rise housing projects domestically in the second half. Condominiums will be introduced abroad due to an expected slowdown in the Thai property market. The company targets Bt15bn in presales for the full year after recording Bt7bn in the first half. (Bangkok Post, 24/08/13)

Comment: Every property company that has overexpanded in the past few years will begin to struggle going forward


Board approves cement plant in Myanmar — SCC board approved a Bt12.4bn investment to construct its first fully integrated cement plant in Myanmar. It is expected to start up by mid-2016. The 1.8mn ton cement plant will be strategically located at Mawlamyine where there is a long term supply of limestone, and is complemented by the water access to Yangon, which is Myanmar’s primary commercial hub. In 2012, SCC exported ~1.7mn tons of cement to Myanmar, and has solidified its position as one of Myanmar’s market leader. The Myanmar cement market is estimated at ~4mn tons in 2012, and is forecasted to grow annually at 10% over the next 5 years.

Comment: A great expansion for SCC

Sea Oil (SEAOIL) is to IPO at Bt3.45/share with subscription period running Aug 26-29 and begin trading on mai on Sept 5. Proceeds of more than Bt241.50mn will be use for business expansion. (Khao Hoon, 26/08/13)

Comment: Don’t know anything about this IPO, but with such a small listing, I’m willing to bet the shares will perform stupendously well on its first day.

True caves on network assets hitch :Move will facilitate infrastructure fund . True Corporation has half-heartedly yielded to pressure from its concession owner CAT Telecom to exclude its network assets under a dispute with CAT from its planned 70-billion-baht infrastructure fund. (Bangkok Post)

Comment: Hah!

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