CS Loxinfo to buy stake in directory operator

BANGKOK: Major Internet service provider CS Loxinfo is to buy a majority share of the operator of the Thailand Yellow Pages directory, it was announced yesterday.

Shin Satellite (ShinSat), the majority shareholder of CS Loxinfo, said its subsidiary would buy a 63.25percent share worth Bt506 million in Teleinfo Media Co from Shin Corp Plc (Shin) and SingTel Interactive.

ShinSat said the move was aimed at increasing the service provider’s value ahead of a public listing in March.

Teleinfo, which also operates the directory website, is a joint venture between Shin, TOT Corp Plc and SingTel Yellow Pages Pte Ltd.

ShinSat informed the Stock Exchange of Thailand (SET) of the plan yesterday.

Shin will sell its 26.55 million shares at Bt11.53 each to CS Loxinfo, while SingTel Interactive will sell its 17.35 million shares at the same price.

TOT Corp, which awarded the concession to produce the Thailand Yellow Pages telephone directory concession to Teleinfo, owns the remaining shares.

ShinSat is a subsidiary of Shin, which was founded by Prime Minister Thaksin Shinawatra.

“The investment will help increase synergies for CS Loxinfo and boost its revenues, while the telephone directory database can be used to develop ecommerce services and will support future development of electronic services,” said Teleinfo Media’s managing director Somchai Sinjananurux.

A source at Shin said CS Loxinfo would deploy Shin’s cutprice airline, Thai Air Asia, to transport the ecommerce products.

CS Loxinfo projects Bt1.4 billion revenues this year. Somchai said that the company would spend Bt70 million this year on advertising campaigns.

“This year we project revenue growth of 12 per cent, and we will make a profit for the second consecutive year,” he said.

The company made Bt720 million in revenues in 2002 but recorded Bt204 million in losses.

Although Teleinfo’s concession with TOT will end in two years, Somchai said that the company would not be affected.

--The Nation 2004-01-22

What a good idea. See if they can screw the billing up for that as well..