New entity for duty-free – perhaps. The Minister of Transportation met with management of Korea’s Lotte, which wants to run a duty free business at Thailand’s airports and in towns. The Thai government is promoting fair competition in the duty-free business, but has to study conditions with King Power Duty Co., who has the duty-free concession at Suvarnabhumi Airport, Don Muang and Phuket. H has ordered AOT to find a way for newcomers to set up duty-free shops in towns, with clients able to pick up their purchases at airports. (Xinhua, 10/01/15)
Comment: They want fair competition and yet still have to study the deal with King Power? Erm, King Power is a MONOPOLY I don’t think much study is needed…

Plan to invest in waste power plant approved. BGW’s board has approved a Bt1.2bn investment in a 9.4MW waste power plant at Kaeng Khoi, in Saraburi province. (Thun Hoon, 19/01/15)

CIMBT focusing on SME market as its yield is double compared to loans to larger corporations. It plans to increase fee income to 30% of its revenue over the next five years and expects loan growth in 2015 of 16-17% or Bt8.3bn. It expects NPLs to stay low at 0.4%. (Thun Setakit, 18-21/01/15)

Chai Wattana Tannery Group PLC (CWT) expects earnings turnaround in 2015 supported by increasing orders from new car models from Isuzu and Honda. The company expects revenue of Bt1.2bn and plans to enter into an alternative energy business in Myanmar via a JV with Sweety Home, a big player in the furniture industry. (Thun Setakit, 18-21/01/15)

DNA shareholders approve par split to Bt0.05/share from Bt0.25/share in order to improve trading liquidity. It will expand into construction contractor for renewal energy, property development, content provider, advertising, concert organizer, telecommunication, spa, transportation, high speed internet and school. These will raise its revenue and sustainable return to shareholders. (Thun Hoon, 19/01/15)
Comment: Still don’t quite understand why this company should be valued so highly.

EARTH expects coal sales at 10 tonnes supported by more orders, both local and from abroad. It has signed a Bt4.8bn loan agreement with KTB. (Thun Hoon, 19/01/15)

GUNKUL expects revenue to growth 20% YoY to Bt3bn. It expects to win 100MW in solar farms out of 1,000MW from the government. This will be announced by 2Q15. It will issue either a bill of exchange or debenture worth more than Bt3bn. (Kao Hoon, 19/01/15)
Comment: GUNKUL is a perfect example of a company moving up the value chain within the industry, they begun as a trader of goods, to doing EPC work and now investing in projects.

More improvement, more efficiency. KTB reports that it continues to improve the company’s operations to increase efficiency. It expects 6% loan growth this year, focusing on the SME and retail segments. Its concerns are global economy and government spending. (AST Manager, 19/01/15)

LPN disclosed target revenue of Bt16bn, +36% YoY, supported by backlog of Bt18.6bn. It targets presales of Bt20bn. LPN will launch 10-12 projects worth Bt20bn. It will spend Bt4bn for land acquisition. (Kao Hoon, 19/01/15)
Comment: Brokers have been saying that profit growth for LPN this year will be around 30-50% depending on how quickly they can transfer units.

MONO will move to SET from mai in 1Q15. It expects to have no less than Bt3bn revenue this year. It plans to raise advertising fees for digital TV and will spend Bt800mn to develop content and build studios. (Kao Hoon, 19/01/15)
Comment: A smaller winner in the digital TV spectrum, but one nonetheless

PTT is considering cost revision for its NGV business to reflect the actual cost following the decline of oil price. It is possible that NGV cost could be slashed by B1.5/kg. The company will also invest Bt1.6bn more on NGV network expansion to accommodate more than 60,000 cars. The Ministry of Finance plans to announce the new cost formula for NGV to Bt13/kg, based on a study by Chulalongkorn University. (Thun Setakit, 18-21/01/15)

SAMART expects revenues of over Bt100bn supported by the growing telecommunication industry and a new business, alternative energy. Its backlog will increase and be secured through 2018 from new projects with value of Bt20bn. I-Sport, the sports app arm of Samart I-Mobile, plans to list on the mai by mid-2015. (Thun Hoon, 19/01/15)
Comment: SAMART is shifting its business to from telco/IT related to energy with its coal plant in Cambodia

SCC to book Bt1.6bn from spin off of 10% in Siam Michelin Group in 1Q15. It plans Bt200-250bn investment during the next five years (2015-2019). (Thun Hoon, 19/01/15)

SLC file criminal lawsuit against Thairat TV Co. and Nation Multimedia Group Plc (NMG) for defamation, seeking Bt1bn in damages. (Kao Hoon, 19/01/15)
Comment: Not the best start for a new major shareholder and a company its invested in to get along.

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