ThaiBev seeks credits for F&N takeover
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Thai tycoon Charoen Sirivadhanabhakdi's Thai Beverage Plc and related businesses are said to have approached several banks in Singapore to line up funding for a potential general offer for Fraser and Neave (F&N), the Business Times reported Monday.
An executive of a Thai bank admitted earlier that Thai Bev has approached several Thai banks for credit facility.
Still, Kannikar Chalitaporn, president of Siam Commercial Bank, said that her bank has not been approached by the brewer.
The talk took place as F&N will call for a shareholder meeting on September 28 to consider the sale of flagship brewing business Asia Pacific Breweries to Heineken.
Business Times quoted unnamed sources as saying that an escalating battle for APB may lie ahead if ThaiBev secures enough financing to mount the takeover in time, and intends to stop F&N from closing the deal. Talks are still going on with banks.
ThaiBev is already F&N's largest shareholder with a stake of 29 per cent. Once the stake breaches 30 per cent, it will need to launch a mandatory offer for F&N.
ThaiBev, Thailand's largest brewer, first bought into F&N in July for its beer and non-beer businesses, and there has been speculation that it would object to the sale of the APB stake. Even if the Thais do not block the deal, they could be after a bigger say in F&N's future - the sale of APB is seen by many as the first step in the break-up of the conglomerate which could see it realise the value of its other food and beverage, publishing and property assets.
While ThaiBev pursues stakes in F&N, Kindest Place Groups, controlled by Charoen's son-in-law, tendered for partial shares in APB at the price of S$55. Heineken had to raise its offer from S$50 per share of APB to S$53.
Heineken, which holds 43 per cent in APB, today informed the Singapore Stock Exchange that as of Sept 7 it acquired additional 183,000 shares in the open market which accounted for 0.07 per cent of APB's shares. The shares were acquired at a price of S$53. This increased the number of APB shares that Heineken owns, controls and agrees to buy to 221.98 million shares or 85.97 per cent.
