Thai Telecom Titan Merger Hits Roadblock Amid Shareholder Pushback

[snoop1130]

File photo for reference only

 

In a dramatic turn for Thailand's telecommunications landscape, shareholders of telecom giants Advanced Info Service (AIS) and Thaicom have been urged to reject acquisition offers from their controlling companies, Gulf Energy Development and Intouch Holdings. The boards of both telecom firms are recommending a firm no to the merger plans, disrupting the ambitious consolidation strategy announced back in July.

 

Gulf Energy, the major player behind Thaicom, and Intouch Holdings, which steers AIS, had unveiled plans for a merger they envisioned would transform the sector. The proposal, already blessed by shareholders of Gulf Energy, aims to aggregate a telecom powerhouse worth a staggering 1.037 trillion baht, approximately US$30 billion.

 

Gulf Energy, Intouch, and Thai billionaire Sarath Ratanavadi sought to acquire a 58.9% share in Thaicom at 11 baht per share. Yet, rising stock prices since the merger's whisperings have led Thaicom to advise its shareholders to turn down the offer. As of January 16th, Thaicom's shares showed resilience, trading at a higher 12.3 baht.

 

 

AIS has similarly seen a bid on its shares, initially valued at 216.30 baht each, then revised downward to 211.43 baht. However, AIS presented an alternative valuation suggesting its worth between 229.55 baht and 285.70 baht per share, with the stock closing positively at 290 baht, reflecting market confidence.

 

This resistance from the telecom firms leaves the future of the merger uncertain. Gulf Energy and Intouch have yet to comment, and the industry watches closely for developments that could reshape Thailand’s telecommunications sphere dramatically.

 

-- 2025-01-17

 

 

[hotchilli]

This merger should never get the go ahead.

[jippytum]

These mega mergers benifit the wealthy Thai families with major shareholding rather than the consumer. 

[khunpeer]

15 hours ago, snoop1130 said:

File photo for reference only

 

In a dramatic turn for Thailand's telecommunications landscape, shareholders of telecom giants Advanced Info Service (AIS) and Thaicom have been urged to reject acquisition offers from their controlling companies, Gulf Energy Development and Intouch Holdings. The boards of both telecom firms are recommending a firm no to the merger plans, disrupting the ambitious consolidation strategy announced back in July.

 

Gulf Energy, the major player behind Thaicom, and Intouch Holdings, which steers AIS, had unveiled plans for a merger they envisioned would transform the sector. The proposal, already blessed by shareholders of Gulf Energy, aims to aggregate a telecom powerhouse worth a staggering 1.037 trillion baht, approximately US$30 billion.

 

Gulf Energy, Intouch, and Thai billionaire Sarath Ratanavadi sought to acquire a 58.9% share in Thaicom at 11 baht per share. Yet, rising stock prices since the merger's whisperings have led Thaicom to advise its shareholders to turn down the offer. As of January 16th, Thaicom's shares showed resilience, trading at a higher 12.3 baht.

 

 

 

AIS has similarly seen a bid on its shares, initially valued at 216.30 baht each, then revised downward to 211.43 baht. However, AIS presented an alternative valuation suggesting its worth between 229.55 baht and 285.70 baht per share, with the stock closing positively at 290 baht, reflecting market confidence.

 

This resistance from the telecom firms leaves the future of the merger uncertain. Gulf Energy and Intouch have yet to comment, and the industry watches closely for developments that could reshape Thailand’s telecommunications sphere dramatically.

 

-- 2025-01-17

 

 

nowhere it is mentioned that Thaksin is main shareholder of AIS

[Justanotherone]

why does CP not buy both and raise price as they done with makro and tesco or was it big c