BECL plans SET debut in Q3
Bangkok Expressway Plc expects to complete its merger with subway operator Bangkok Metro and start trading in the stock market in the third quarter of this year.
Phayao Marittanaphorn, managing director of BECL, said yesterday that the deal would create synergy for expansion and extension, cost reduction and investment in the country and abroad.
This move would also prepare the business for the Asean Economic Community.
Phongsarit Tantisuvanitchkul, executive vice president for business development at Ch Karnchang, the founder and major shareholder of BECL and BMCL, said the company, a major construction company, vowed to support the merger by buying the shares of those opposing the merger and not wanting to hold a stake in the new company.
The new company is expected to be capitalised at Bt78 billion with 15.28 million paid-up shares. One BECL share is eligible for 8.655 shares in the new company, while one BMCL share is eligible for 0.42050530 share in the new company.
Before the merger, BECL, which gained approval from its board of directors, will sell its 10-per-cent stake in BMCL to Ch Karnchang for Bt1.79 per share, or a total of Bt3.67 billion, according to its filing on Wednesday to the Stock Exchange of Thailand.
After the sale, Ch Karnchang’s holding in BMCL will increase from 25.2 per cent to 35.2 per cent. Ch Karnchang will pay Bt2 billion for the stake once the sale is done and it will pay the rest by August 2017.
BECL will realise a Bt1.33 billion capital gain on the sale, which will be financed by tolls from the Si Rat-Outer Ring Road Expressway project and other future investment.
To cut its retained loss from Bt13 billion to Bt199.98 million, BMCL, before the merger, will reduce its registered capital by lowering its par value from Bt1 per share to Bt0.37.
Both BECL and BMCL will hold their shareholders’ meetings on April 2 and are open for creditors’ opposition for two months.
