Wednesday, September 22, 2010

Thai PTT ends Carrefour bid, narrowing field

BANGKOK: State-controlled PTT Pcl, Thailand's top energy firm, withdrew its bid for French retailer Carrefour SA's Thai assets on Wednesday, Sept 22, following pressure by the Thai government.

The move leaves Thai conglomerate Berli Jucker Pcl and top department store operator Central Pattana Pcl in the running for Carrefour's estimated US$600 million (RM1.85 billion) Thai assets.

Carrefour, Europe's top retailer, wants to sell its stores in Malaysia, Singapore and Thailand at a potential price of US$1 billion to focus on markets where it holds leading positions.

"Since several interested parties of PTT have come to a conclusion we should not join the bid. PTT, therefore, has decided accordingly," the company said in a statement.

Reuters earlier reported a company source as saying it would end the bid.

The news sent Berli Jucker stock up nearly 3%.

The government said on Tuesday PTT should focus on its core energy business rather than other businesses.

PTT had appointed Bank of America Merrill Lynch as an additional adviser for the bid, a source close to the deal said on Monday.

Berli, which had said it could seek a partner to buy the Southeast Asian operations, could make a second-round bid for the Thai assets by itself, Thapana Sirivadhanabhakdi, a director of Berli Jucker, said. ' Reuters


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