NBC gets nod from shareholders for recapitalisation to bid for terrestrial TV

At the annual meeting yesterday, the shareholders approved the issuing of 353.74 million shares, which will be allocated to existing shareholders at Bt1 apiece. The company will also issue free warrants to subscribers of the new shares, at the ratio of two new shares to one warrant. The warrant can be exercised for one share at Bt3. The issuance of new shares, to be available for subscription between July 2 and 5 and on July 8, is expected to raise Bt1.06 billion.
“The recapitalisation is meant to primarily finance our digital TV bidding with the National Broadcasting and Telecommunications Commission, which is scheduled to be held this year," NBC president Adisak Limprungpatanakij said. "The rest of the money will be used to expand our existing business and working capital.”
To strengthen the company’s competitiveness in the bidding, the company also nominated Nation Multimedia Group Editor-in-Chief Thepchai Yong as director. Thepchai’s extensive experience, chiefly as former director of Thai PBS and his executive role at iTV, is expected to strengthen the company’s future in the digital TV industry. The nomination was unanimously approved by shareholders.
NBC last year posted a net profit of Bt48 million and shareholders yesterday approved a dividend payment of Bt0.18 per share. On top of the interim dividend payment of Bt0.12, the Bt0.6 extra dividend will be paid on May 20.
The company will also issue warrants under the Employee Stock Option Programme, backed by 176.87 million shares. The shareholders also approved the issuance of bonds of up to Bt500 million, to raise its working capital and finance business expansion.