Thai investor Mongkol Prakitchaiwattana sold off 110 million shares of Krungthai Card Plc (KTC) on Thursday worth 8.22 billion baht, at an average price of 74.75 baht per share, to finance a joint venture in XSpring Capital Plc in collaboration with Sansiri Group, says a securities industry source who requested anonymity.
According to the Stock Exchange of Thailand (SET), KTC’s major shareholders as of Feb 24 were Krungthai Bank at 1.27 billion shares or 49.29%, followed by Mr Mongkol with 269 million shares or 10.46%, then Thai NVDR Co with 197 million shares or 7.65%.
The big lot transactions traded at a lower price than the previous day’s closing price of 83 baht, with transactions split between trades on the foreign board (KTC-F) worth 5.681 billion baht and the domestic board worth 2.541 billion.
According to Reuters, Morgan Stanley facilitated the deal.
Morgan Stanley & Co International Plc was the fifth largest shareholder of KTC as of Feb 24 with 125 million shares or 4.87% of the company.
KTC chief financial officer Chutidej Chayuti said sellers of shares likely profited from the sale, while new buyers must be confident in the future growth of the company.
The company provides unsecured and secured loans.
KTC has a customer base of more than 80,000 and only 10,000 customers applied for loan assistance under the central bank’s measures, worth roughly 1.2 billion baht.
The securities industry source said the big lot transactions came amid news KTC was interested in buying Citibank’s retail portfolio worth 95 billion baht.
KTC reported a net profit for the first quarter this year of 1.63 billion baht, compared with 1.64 billion for the same period last year.