Treasury program spurs price — Price of ANAN rocketed to hit a one month high after the company announced plans to repurchase 333.30mn shares (10% of total shares). The total value of the repurchase scheme is estimated to be Bt500mn. Management is confident that earnings will exceed market expectations, and promised dividend will start next year. (Khao Hoon, 18/09/13)
Comment: Wow! But the company still has some ways to go.
Court rules in favor of BECL — The Administrative ruled in favor of BECL, ordering the Expressway Authority of Thailand to pay Bt5bn to BECL as part of the earnings from tolls from 1992 to 1993 to BECL. EXAT has until October 13 to appeal the decision. (Khao Hoon, 18/09/13)
Accelerating ethanol study — KBS is accelerating its study with Mitsui Group on investment in an ethanol factory. It expects the study to be concluded by next year. Its 35MW biomass power plant is expected to be completed in February 2014 and the company expects the project to bring in more than Bt200mn. (Khao Hoon, 18/09/13)
Comment: If you want to know what the end picture for KBS will be simply have a look @ KSL
Board changes — Mr. Somchai Poolsavadi has replaced Ms. Benja Louischareon as a board member of Krungthai Bank, while the cabinet has replace Mr. Sornkawee Puranachoti with Mr. Sumate Damrongchaitham as a board member of GSB. (Khao Hoon, 18/09/13)
PTT, TOP in joint research — PTT and TOP are in a joint research project aiming to develop new technology for PTT group. The project is expected to cover everything from production and distribution; and ranges from petroleum, petro chemical to alternative energy. (Khao Hoon, 18/09/13)
Buying Indonesia packaging company — SCC has agreed to pay Bt395mn to buy an Indonesian packaging business. The deal increases SCC’s production capacity from 976k tons annually to 1.01mn tons annually. (Khao Hoon, 18/09/13)
SINGER: Expects weak 3Q13. Due to weak economic outlook and rising household debt, SINGER expects sales
and profit to weaken in 3Q13 (down qoq). The company also sees NPLs rising higher to 4.6-4.7% from 4.5% while
product return rate should climb higher to 5% vs 3.-4% previously. (Source: Prachachart Thurakit)
Comment: We’ve been wondering when Singers numbers would decline, we like the company a lot, but it essentially is a consumer goods leasing co
SIRI 9M13 sales hit Bt40bn with backlog at Bt63bn — The company will push on with three additional projects, with the total value of Bt6.7bn. It expects annual sales to reach its target of Bt4.8bn. (Khao Hoon, 18/09/13)
Comment: Just keep a watch for their expenses…
Mystery bidder for TMB — Mr. Rungsan, Chairman of the Board of TMB admits there is some interest from foreign banks to buy 26% of TMB. If the price offered exceeds Bt3.86/share he will have to consider the offer. Japanese analysts speculate that the mysterious bidder is Misuho-Sumimoto bank. (Khao Hoon, 18/09/13)
Comment: There is always interest, TMB just isn’t worth whatever price the Chairman is toting, the issue goes back to the state’s holding cost in TMB and its own exit target valuation.