Bangchak stocks sold to PTT

The Bangchak Petroleum company is liquidating its stocks to PTT to generate funds for restructuring its refineries and oil quality management.

Mr. Anusorn Sangnimnuay (อนุสรณ์ แสงนิ่มนวล), managing director of Bangchak Petroleum company, revealed that the comapany has entered an agreement with PTT company to liquidate its core stocks in order to generate $120 million worth of funds. The stock sales will allow PTT to increase its control on Bangchak from 7.6% to 25-30%.

Bangchak has also entered into relevant business agreements with PTT to reassure investors of the potential value of the stock sales. Mr. Anusorn added that Bangchak and PTT will then enter a joint venture to find new sources of crude oil in order to reduce oil prices.

The managing director added that both domestic and foreign investors have shown great interest in the stock sale.

Source: Thai National News Bureau Public Relations Department - 22 April 2006

It's usually called a merger...............?