TWZ partners with major shareholder to expand in Asean
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TWZ Corporation, a distributor of mobile phones and peripheral devices, aims to fast-forward growth next year by riding on the growing digital-based economy after partnering with Wichai Thongtang, a well-known lawyer and valued investor.
“We are confident that Wichai’s financial support will help TWZ grow its business in Asean markets such as Laos, Cambodia and Myanmar, going along with his business network,” said chairman Puttachart Rungkasiri.
Wichai as of March 17 was the second-largest shareholder in TWZ with an 8.18-per-cent stake, after Puttachart, who holds 8.69 per cent.
Puttachart said the company was expected to have its products, both under its own TWZ brand and those of others, introduced to the Asean market by CTH International, another company in Wichai’s basket of investments.
CTH recently merged with GMM Grammy subsidiary GMM B, operator of GMM Z pay TV. CTH is considered the country’s third-largest subscription-based TV operator, while GMM Z holds the second-largest market share.
He said TWZ Corp had received good feedback from its campaigns for TWZ smartphones under the “smartphones for everyone” concept, recording sales of 80,000 units in the third quarter, compared with 20,000 in the same period last year.
Puttachart said 2015 would be a golden year of the telecom sector and his company would cash in on that bright outlook.
It also expects to see its capital increased from Bt240 million to Bt630 million by next month. Puttachart said the proceeds of Bt1.78 billion from the capital increase would be used next year for expansion in the company’s telecom and property businesses as well as debt repayments.
He said TZ Trading, a TWZ subsidiary that holds master-distributor rights to sell Nokia products in nine provinces, was also selected as one of the 26 companies authorised to distribute the Bt690 coupons for digital tuners provided by the National Broadcasting and Telecommunications Commission. TWZ, as a coupon service point for TZ Trading, expects to sell antennas to be used with the set-top boxes, targeting 2.2 million units.
Puttachart said TWZ had also revived its property business via its subsidiary Piyachart Co by increasing the property firm’s paid-up capital to Bt250 million from Bt50 million.
“We plan to take Piyachart public next year and expect property business to account for 30 per cent of TWZ’s total revenue,” he said.
TWZ is expected to post Bt3.5 billion in revenue this year and Bt5 billion in 2015, he said.
