Capital raise okayed by shareholders — Shareholders have given approval for BMCL to raise capital by Bt8.55bn and change its rights offering from 5.9:1 (existing: new shares) to 1.39:1 share. Management says that the recapitalization will help strengthen the firm’s financial position by saving Bt640m on interest expense per year. (Khao Hoon, 12/11/13)
Comment: No surprise here, definitely needed for the company
Mixed results for giants – CPF reported improved 3Q13 results with a net profit of Bt2.65bn on Bt105.26bn in sales, up 10% and 8% from the same period last year. Net profit for the nine months to September plunged more than 71% YoY to Bt5.31bn despite sales growing 9% to Bt285.8bn. Management said the decline in nine months profit was due to early mortality syndrome (EMS), a disease that began damaging local shrimp production late last year. (Bangkok Post, 12/11/13)
Comment: We’ve been thinking aloud, once CPALL’s #’s recover and the food industry begins to improve would this all result in a strong rally for CPF?
ERW reported 9M13 net profit of Bt873mn from extra gain, without that it was a net loss of Bt6mn. It said 13 hotels are being developed and will open in 2Q14-4Q14. (Khao Hoon, 12/11/13)