SCG gears for negative impact
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Siam Cement Group has closely monitored the economic situations in China and Europe to evaluate their possible impact on its own financial performance and its strategies for acquiring businesses overseas.
President and chief executive officer Kan Trakulhoon said the company’s board would meet in August to review its five-year medium investment plan. SCG will not delay the investments but will examine in deeper detail the companies it aims to invest in.
He said it was unlikely the European debt situation would have a significant impact on these companies. In fact, Europe’s downturn has opened chances for the company to acquire overseas businesses more cheaply, and many European and US firms have approached the company to invest in them. In Asean, the company has given top priority to takeover targets in Indonesia, followed by Vietnam. In the past five years its takeover priorities were in Vietnam.
Since 2007, the group has engaged in 16 merger and acquisition deals and acquired shares in 26 firms, of which five are Thai and the rest are in Asean and the United States.
