What happened this week 23/12 – 27/12


  • Growth forecasts forced down again; FPO, BOT, Nida note impacts of political chaos on economy – As political turmoil hits the economy, the Fiscal Policy Office (FPO), Bank of Thailand and National Institute of Development Administration (NIDA) have all cut their estimates for GDP growth this year, and fear it won’t be much better in 2014. (The Nation, 27/12/13)
  • Govt targets rice exports of 8mn tonnes next year – The Commerce Ministry targets rice exports of at least 8mn tonnes next year, making Thailand once again the world’s top rice exporter. (The Nation, 27/12/13)
  • Factory permits close to 2012 level, says ministry – The Industry Ministry has approved 5,222 factory permits worth a combined Bt475bn this year as of Wednesday, increasing the number of factories nationwide to 140,158. Of the new permits, 4,589 were for new factories and the rest for expansion of existing facilities, the ministry said in a report released yesterday. It said the Bt475bn in investment excluding land costs will create 173,085 new jobs. (Bangkok Post, 27/12/13) Continue reading What happened this week 23/12 – 27/12

Stocks in the news (aie, ivl, ptt, nusa, uac) 27.12.13


IPO shares sold out — AIE sold all its IPO shares with 9,827 retail investors receiving the shares. It will list on mai on Jan 6, 2014. (Khao Hoon, 27/12/13)

Comment: The usual little one, pop and drop!


JV in UAE — IVL entered into a joint venture agreement with ChemaWEyaat to build an aromatics factory in Abu Dhabi, UAE. This is its first entry into gulf countries. (Khao Hoon, 27/12/13)

Comment: People still don’t realise how huge this company IVL is, it’s the largest PET producer in the world. Continue reading Stocks in the news (aie, ivl, ptt, nusa, uac) 27.12.13

Digital TV: BEC wins, WORK out

So the results for the 7 HD digital TV variety-based channels have been released, the way it works is each company bid for a channel, and the top 7 bidders win whilst the bottom 2 are out, so BEC and MCOT are still in the game, WORK misses out (as of writing their stock is down -4%)

1) BEC World (Channel 3) bid at 3.53 billion baht, higher than the starting price by 2.02 billion baht.

2) Bangkok Media and Broadcasting bid at 3.46 billion baht.

3) BBTV (Channel 7) bid at 3.37 billion baht.

4) Triple V Broadcast (Thai Rath) bid at 3.36 billion baht.

5) Mcot bid at 3.34 billion baht.

6) Amarin Television bid at 3.32 billion baht.

7) GMM bid at 3.32 billion baht.

8) Workpoint bid at 3.31 billion baht.

9) PM Group bid at 3 billion baht.

Source: Bangkok Post

Random Thoughts: A National Reform Council vs a People’s Council

So this came across our desks this morning that the government has proposed a National Reform Council , scroll below for the details.

Random thoughts time, now doesn’t this make more sense versus a “People’s council” that Suthep and the protestors support? Remember Suthep says the Peoples Council will have gooooooooooooooooood people incharge of the country, this National Reform Council actually breaks it down as to who the participants will be.

We still have a wonderfully undemocratic Democrat Party in Thailand that refuses to take part in an election, because they know they’ll lose…Well they could simply have taken advantage of the botched rice scheme and garner more votes, they could have gone more around the country instead of just staying in Bangkok and garner more voters, Democrats you donkeys, you were getting  closer in the polls, one more cock up like the rice scheme by Mr. T’s party and you could actually win, you could have even …. argh no comment, it’s the holidays :)

 The selection process of the council would begin with the recruitment of 2,000 representatives from various professions, who would themselves decide on a shortlist of 499.

An 11-member committee would oversee the process, including examining their qualifications, to ensure fairness and transparency.

  • The 11-members would include

a)     The Supreme Commander or a representative

b)    Two permanent secretaries nominated among themselves

c)     The head of the National Economic and Social Development Board

d)    One university rector chosen by the Council of University Presidents of Thailand

e)     The Chairman of the Thai Chamber of Commerce

f)     The head of the Federation of Thai Industries

g)    The Chairman of the Thai Bankers Association

h)     The other three members would be nominated by these eight members – a chairman and two experts

  • The council would

a)     Study amendments to the constitution

b)    Propose economic and social restructuring plans

c)     Propose ways to improve the people’s participation in public administration

d)    Recommend amendment or abrogation of laws and other regulations to ensure fairness and transparency in all elections

e)     Recommend selection of officials for various positions to end abuse of authority

Propose measures to end corruption and misconduct in state agencies

Improve decentralization of power and local government

  • The proposals would be forwarded to the PM and disclosed to the public for transparency.
  • The timeframe for the process would be determined by the council.
  • Its proposals will be carried out by the new government.

Stocks in the news (bmcl, glow, htech, ea, tmi) 26.12.13


Capital increase update — BMCL reports that of the 8.55bn newly issued shares as rights offering, 6,275,704,432 were taken, leaving 2,274,295,568 shares to be privately placed. (Khao Hoon, 26/12/13)

Comment: Good for the company, will BMCL then in the future also do an infrastructure fund?


Subsidiary signs contract for expansion — GLOW subsidiary, GLOW SPP 11, has signed a contract with Wartsila to construct the expansion part of the 19MW gas-fired power plant. It expects the project to be completed by 1Q15. (Khao Hoon, 26/12/13)

Comment: Still one of the better utility firms out there, the normal dividend yield is nothing special @ this moment, but don’t be surprised to see a special dividend in april ‘14 Continue reading Stocks in the news (bmcl, glow, htech, ea, tmi) 26.12.13

Stocks in the news (banpu, bec, bts, erw, itd, ivl, ocean, pttgc, rs) 25.12.13


Writing off treasury stock — BANPU announced it will decrease registered capital by writing off the repurchased registry shares worth Bt135.6mn. The decrease will boost EPS and DPS by 5%. (Khao Hoon, 25/12/13)

Comment: Well that’s an easy way to boost EPS


BEC concerned and political situation — It will boost ad rates and invest more than Bt1bn to produce and buy new content. The results of the bidding for digital TV are expected on Dec 26-27. (Khao Hoon, 25/12/13)


Yesterday’s disruption technical not political — BTS said the disruption to the skytrain service yesterday was due to a problem that occurred during the installation of platform screen doors at skytrain stations, which caused the signal control system to malfunction and that it had nothing to do with the current political conflict. It estimated that Bt5mn in revenue was lost. (Khao Hoon, 25/12/13)

Comment: And the day before they had their best revenue ever Continue reading Stocks in the news (banpu, bec, bts, erw, itd, ivl, ocean, pttgc, rs) 25.12.13

Stocks in the news (bay, earth, mcot, ocean, noble, ratch, spcg) 24.12.13

BAY Expects merger with MUFG to strengthen — BAY expects to be stronger after merging with MUFG, bulked up by that entity’s loan and deposit portfolios. Net profit in 4Q13 is expected to touch Bt4.09bn, a 7.8% YoY increase, supported by the booking of gains from expiration of Vayupak. (Khao Hoon, 24/12/13)

BAY out of MSCI — Effective from 24 December 2013, MSCI will delete Krungsri (BAY) shares from the index due to the substantial reduction in free float. (MSCI)

Comment: This was the primary reason behind the 22% fall in BAY share price yesterday. We saw this last happen with LH, that then had a 30-40% drop over a few days, perhaps BAY could still keep going down.

EARTH Energy Earth budgets Bt3.8 bn for coal mining in Indonesia – Energy Earth has budgeted Bt3.82bn to acquire a coal-mining license in Indonesia to sustain its reserves for 10 years. (The Nation, 24/12/13)

Comment: They still never very rarely open up to investors for visits. Continue reading Stocks in the news (bay, earth, mcot, ocean, noble, ratch, spcg) 24.12.13