Waiting for cabinet approval — AOT is waiting for cabinet approval of the backup runway project with Multi-Function Terminal with an investment budget of Bt48bn. The PM has confirmed that the government wants AOT to set up an infrastructure fund to help finance its projects. The company’s board meeting will be held on January 21 and final conclusion is expected to be reached then. (Kao Hoon, 14/01/15)
Comment: This is going to keep AOT’s stock price high and every bank is going to falling over their feet to get their hands on the infrastructure fund.
Denies claim by NMG — AQUA released a statement yesterday saying that the claim by NMG has no basis. The company’s operating performance has been stable and is still growing in contrast to NMG’s operating performance, where earnings have plunged by 77%. AQUA said that NMG claims were intended to damage AQUA’s reputation for NMG’s own benefit. (Kao Hoon, 14/01/15)
Comment: This shareholder fight is becoming quite funny. NMG vs SLC vs AQUA. No wonder drama shows are so popular in Thailand
BKD expects revenue this year to grow by 20-30% supported by its backlog of Bt2bn. It expects the proportion of revenue from the private sector to increase to 50% from 30%. It revealed that it has won a project to develop a housing project in Cambodia worth more than Bt500mn. (Kao Hoon, 14/01/15)
BRR confident that 4Q14 performance will be peak and targets revenue of Bt5bn in 2015 with net profit growth of Bt300mn, +70% YoY, as it will book full-year revenue from biomass power plant. The company will invest Bt1.1bn in an ethanol factory and a third biomass power plant. (Kao Hoon, 25/11/14)
Comment: As mentioned before, it’s the same story for any sugar plant
CWT is confident that 2014 revenue will reach Bt1bn as it will book large revenue from backlog in 2H14. The company expects revenue of Bt1.2bn in 2015. (Kao Hoon, 25/11/14)
GEL sets up a subsidiary in Mauritius, to be completed in 1Q15, and a JV with MILL in Myanmar, which is expected to start operations in 2Q15. The board approved investment in MILL shares. (Kao Hoon, 25/11/14)
ICHI expects good 4Q14 as purchasing power recovered. The company expects net profit of more than Bt1.1bn in 2014 after it cut the proportion of OEM, raising margin. The company expects revenue of Bt6.5bn in 2014 and sets a target revenue growth of 10% YoY in 2015 via export channels. (Kao Hoon, 25/11/14)
Comment: Well that’s big change from the “expected growth” it was going to receive from expanding to indonesia
Ready for IPO — BRR is ready to sell 169mn shares in an IPO. It is expected to finalize the offering price on October 27, 2014. It plans to be listed on the SET on November 6. The company plans to use the proceeds to increase its cane crushing capacity and as working capital. (Kao Hoon, 21/10/14)
Comment: As mentioned before IPO’s are coming fast and furious during this 4Q, looking at BRR it appears that it’ll have the same story as every other small IPO that has come to the market.
Airline’s IPO falls short – Bangkok Airways has raised Bt1.04bn less in proceeds than planned as it opted to price its initial public offering (IPO) shares in a middle range. The airline earned Bt13bn from the sale of 520mn new shares, 7.40% short of the Bt14.04bn that was projected earlier if the ceiling price had been adopted. This resulted from its decision to price its IPO shares at Bt25, the middle of the indicative range of Bt23-27, executives of the carrier confirmed yesterday. (Bangkok Post, 21/10/14)
Comment: Demand for BA shares aren’t as high as they have indicated, if it really was 1.5x oversubscribed then the IPO would have been priced at THB 27, I doubt first day trading will be anything special.
DTAC follows special Facebook friend – Total Access Communication Plc (DTAC), the country’s second-largest cellular operator, seeks to double its mobile data users within two years thanks to a rapid transition from 3G to 4G mobile services. The company will today announce a six-month content partnership with Facebook and together launch a special “Happy Connection” package in Thailand. (Bangkok Post, 21/10/14)
ADVANC to launch fixed broadband service early next year. It targets 300,000 customers in the first phase and expects to invest Bt4.6bn. It also said that over the past two years it has invested Bt80bn in its 3G network and it expects to reach 20,000 3G base stations by the end of this year, covering 97% of the country’s population. (Kao Hoon, 20/10/14)
CPF: Food processing plant in Minburi 2 to focus on Halal food. It aims to make this plant a base for export of Halal food to the Middle East, Asia and Europe. The plant can produce up to 1,450 tons of chicken and 500 tons of duck each month. (Kao Hoon, 20/10/14)
CSS shares expected to run today on news of it coming out from the cash balance trading requirement and CSS-W1 to start trading today. Management said 3Q14 earnings were good supported by a high number of orders. (Kao Hoon, 20/10/14)
Shareholders okay PP — DNA’s shareholders have given their approval to the private placement of 500mn capital increase shares at a price of Bt0.20. It expects to use the proceeds of more than Bt1bn to acquire new businesses, with 2-3 deals expected to be completed within 4Q14 and another one at the beginning of next year. (Kao Hoon, 20/10/14)
Comment: PP at THB 0.20, while the share price is at THB 3.40, makes perfect sense doesn’t it?
AP, Mitsubishi lay out plans – Mitsubishi Estate Group (MEC), one of Japan’s largest developers, plans to launch three to four residential projects next year in partnership with SET-listed developer AP (Thailand) Plc to capitalise on the recovering economy and improved political climate. “Thailand’s fundamentals such as long-term economic prospects and people’s income remain sound,” said Shojiro Kojima, managing director of affiliate Mitsubishi Estate Asia (MEA). “Our investment is truly for the long term.” (Bangkok Post, 24/09/14)
Comment: It’s a good plan for AP, lightens their balance sheet while still being able to continue expansion
Channel 3 talks fail, BEC may sue — The second round of talks to end the dispute between Channel 3 and the broadcasting regulator was another failure, and Bangkok Entertainment Co, holder of the analogue channel’s concession, is mulling legal action. (Bangkok Post, 24/09/14)
Comment: BEC is still facing a potential blackout
CITY sets revenue FY2015 growth target of 5-10% backed by an increase in its customer base. It plans to invest Bt50mn into maintenance and repair on its machinery. It has set up a subsidiary in Hong Kong and hopes to create a brand image for its electronic appliances. The board is also studying plans to expand into alternative energy. (Thun Hoon, 24/09/14)
Comment: CITY is a well-run little company that used to be a very straightforward 5-10% growth with a decent dividend.
CPF plans to expand into food business in Australia. CPF targets 500 chain restaurant branches, and also looks to sell its ready made meals, which it believes has strong potential. The management estimates CAPEX in the range of AU$200mn spread over five years. (Kao Hoon, 23/07/14)
Comment: CPF is continuing on their mission to be the kitchen to the world, shame about the child labour though.
GEL: revenue growth of 30% from new buyers. The management is confident that due to NCPO policies 3Q14 should see more construction thus additional demand for its products. (Kao Hoon, 23/07/14)
Comment: Another construction materials company that could benefit if the infrastructure plans go ahead.
GMM Grammy, CTH plan share swap to keep lid on pay TV business loss – GMM Grammy will make a share swap with CTH via its wholly owned subsidiary Z Trading in a Bt1bn transaction as Grammy tries to focus solely on digital television and exit pay TV, while CTH strives to expand its viewership and content. (The Nation, 23/07/14)
Comment: Will post thoughts on this later today.