CKP: To delay IPO. CK Power will delay its IPO date from 26-28 June to 3-5 July. The company plans to sell 220m shares during the IPO at around Bt12-15 apiece. Of the total IPO shares, 180m shares will be newly issued and 40m shares will come from existing shareholders. (Source: Khao Hoon)

Comment: This new IPO is struggling to get support, a utility company trying to IPO with a 30x PE and a low single digit dividend yield. Not interested in this at all.


Chubu joins Gunkul to launch plants — Japan’s Chubu Electric power Co is set to expand its business across Southeast Asia by cooperating with GUNKUL, partly to open six solar pants in Thailand. Gunkul Chubu Powergen Co, an affiliate of GUNKUL, has six contracts with a combined capacity of 30.9MW to operate and supply electricity to the PEA. GUNKUL expects to generate annual revenue of Bt280mn from these projects its MD said. (Bangkok Post, 25/06/13)

Comment: The more one learns about GUNKUL history, the more one gets surprised by its performance, the company was close to shutting down before being able to win these solar contracts and is now riding high, the valuations still don’t justify its high price.


PTT freezes Mercuria deal negotiations — Bids by PTT to acquire shares of Switzerland-based Mercuria worth up to US$600mn have been stalled after the deal was attacked, with executives saying the information about the bids has been largely distorted. PTT was approached by Mercuria’s financial adviser, Credit Suisse, as potential buyers of 10-20% of the Swiss trader’s shares for US$300-600mn, said an executive of PTT, who asked not to be named. “We are one of many companies that were approached. But we are still in the very early stages and we haven’t received any information yet,” the executive told the Bangkok Post. The talks were halted by management after the proposed acquisition was criticized by opponents online. (Bangkok Post, 25/06/13)

  1. Hi Pon.

    At one time I was eager to learn about this potential stock thanks for the great comment regarding CKP’s IPO. I can’t agree with you more that with a 30x PE and a low dividend yield, who could be interested in a stock like this?


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