Bangkok, 25 October 2024 – Thai Airways International Pcl has initiated discussions with foreign airline partners to secure investment through a targeted private placement as part of its ongoing capital restructuring efforts, according to sources.
On September 30, the airline submitted its securities offering report and capital restructuring filing to the Securities and Exchange Commission (SEC) and the Stock Exchange of Thailand (SET).
Currently, Thai Airways is conducting a roadshow to update existing shareholders on the debt-to-equity conversion process, with rights expiring in November. As part of this initiative, the airline plans to offer up to 9,822,473,626 newly issued common shares, including any remaining shares from the voluntary conversion, to specific parties as outlined in the restructuring plan:
- Existing shareholders before the restructuring (excluding those whose ownership could impose foreign legal obligations on Thai Airways)
- Thai Airways employees
- Selected individuals through a private placement
The capital increase process is expected to open for subscriptions in December, marking a pivotal step that will allow new investors to acquire shares and play a crucial role in Thai Airways’ post-rehabilitation trajectory.
Piyasvasti Amranand, chairman of the Rehabilitation Plan for Thai Airways, emphasized that attracting investors with aviation expertise is a strategic priority. He expressed a desire for shareholders who can guide the airline away from bureaucratic tendencies and foster a focus on professional management.
Given the competitive landscape, where no local airlines currently outperform Thai Airways in terms of management and revenue, securing an international partner is deemed essential. The investment proportion will depend on the shares available after the debt-to-equity conversion.
Thai Airways aims to complete its capital restructuring by December 31. Following this, the airline plans to submit its 2024 financial statements to the SET in early 2025 and expects to file a petition with the Central Bankruptcy Court to exit its rehabilitation plan and resume trading on the SET by June 2025.
Source: The Nation
