Thailand’s Siam Commercial Bank shares hit 2-year high on restructuring

Tana Pothikamjorn, executive vice president and head of digital banking platform at Siam Commercial Bank.

Thailand’s Siam Commercial Bank Pcl saw its share price reach a 25-month high after markets opened on Thursday, following its announcement of a major restructuring plan and new venture capital fund with Charoen Pokphand Group.

Thailand’s third-largest lender by assets announced on Wednesday it would establish SCBX as a parent company through a 1:1 share swap.

SCBX would replace SCB as the listed entity and a one-time dividend payment of 70 billion baht ($2.09 billion) would be issued to SCBX to finance the business transfer, new investments and as payment to shareholders.

The share price rose 17% against an index gain of 0.42% on Wednesday.

The share swap is contingent on shareholder and regulatory approval. It plans to delist SCB in February next year.

King Maha Vajiralongkorn is the bank’s largest shareholder with a 23.38% stake.

The bank also announced a venture capital fund with size of up to $800 million, to be managed with local food conglomerate, Charoen Pokphand Group, to invest in blockchain tech and digital assets.

SCBX would hold shares in more than 16 businesses including auto loans, credit card, AI-based lending and food delivery.

It aims to have 200 million customers by 2025 in the region and reach market capitalisation of 1 trillion baht ($29.79 billion) from 372 billion baht.

Reuters

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.