KK to merge with Phatra Capital
Kiatnakin Bank will make a non-cash offer to purchase all securities of Phatra Capital Plc, in a bid to merge both companies and create a specialised commercial and investment bank.
According to the statement issued today, new shares will be issued to Phatra shareholders at the ratio of 0.9135 shares for every one share held in Phatra.
Phatra will then be delisted from the Thai bourse after the end of the tender offer period.
Kiatnakin Bank and Phatra Capital Plc to.day asked for the trading uspension on their securities, as a merger agreement is around the corner
Both asked the Stock Exchange of Thailand to suspend the trading, saying that both companies would hold urgent meetings of the board of directors, to consider on an issue which could affect their share prices.
An insider said that both plan to merge their businesses.
Both are now small banks in terms of assets. At the end of September, KK assets stood at Bt184.92 billion while that of Phatra at Bt11.03 billion.
