Thai Airways International Plc (THAI) is gearing up to issue new shares worth at least 42 billion baht by December as a crucial step towards finalising its debt restructuring under court supervision and resuming its listing on the Stock Exchange of Thailand (SET).

 

The airline will release 6.81 billion new shares to creditors as part of a debt-to-equity swap, according to a filing submitted to both the SET and the Securities and Exchange Commission on October 1. Each share is priced at 2.5452 baht, totalling 17.3 billion baht.

 

Additionally, 9.82 billion new shares will be offered to current shareholders, employees, and select investors through a private placement. Though the filing co-omitted the specific pricing, it confirmed that the cost would not fall below 2.5452 baht per share. The issuance aims for completion by year-end.

 

Further, 14.9 billion new shares are reserved for a compulsory debt-to-equity exchange with major creditors including the Ministry of Finance, which will convert about 12.8 billion baht of its debt into equity, alongside other creditors.

THAI's objective is to exit the court-monitored restructuring by 2025, five years after entering bankruptcy protection following sustained losses since 2013, worsened by the Covid-19 pandemic. Recent improved earnings and cash flow, driven by a travel boom, have allowed THAI to order new Boeing and Airbus jets.

 

The airline plans to expand its fleet to 116 aircraft by 2027, exceeding its pre-pandemic size. Chai Eamsiri, the airline's CEO, announced that 79 jets should be operational by late 2024, reported Bangkok Post.

 

Piyasvasti Amranand, chairing the rehabilitation oversight committee, stated, "The debt-to-equity swap and new share issuance will aid in stabilising Thai Airways’ financial standing." Aiming for shareholders' equity stability, the company plans to resume trading by 2025 following financial recovery.

 

FILE photo courtesy: Wikimedia

 

-- 2024-10-03

 

One sure way to make a small fortune out of aviation - start with a large one.

A penny stock. Literally.

A fool and his money...

I would rather invest in a bar 

Who in their right mind would invest in Thai airways or buy shares in it?

9 minutes ago, Scouse123 said:

Who in their right mind would invest in Thai airways or buy shares in it?

Many have and will continue to......why? Because they like losing money or don't know how to invest.

 

https://investorshub.advfn.com/Thai-Airways-Intl-TAWNF-39275

nice system, right... bankrupt due to bad management, etc...  just create new shares to shut up everybody... if only average somchai could do that with the bank

17 hours ago, Scouse123 said:

Who in their right mind would invest in Thai airways or buy shares in it?

 

Cue the celebrity commercial endorsements, add a gullible public, pump and dump.

Once the politicians, officials and generals have taken their cut  there will be f*#k all left. Thai Airways is just a cash cow for the habitually corrupt.

The boondoggle continues.