Bangkok--24 Jul--PTT
The Board of Directors of PTT Public Company Limited (“PTT”) today (20 July 2012) approved the purchase of newly issued ordinary shares of PTT Exploration and Production Public Company Limited (“PTTEP”), PTT’s exploration and production flagship company, to maintain its current shareholding in PTTEP which will support PTTEP’s investment plans for oil and natural gas reserves locally and internationally to meet Thailand’s growing demand for energy in line with PTT Group’s long term strategy to focus on upstream business.
Dr. Pailin Chuchottaworn, President and CEO of PTT Public Company Limited, said that PTT’s Board of Directors has approved the purchase of up to 403,395,000 newly issued ordinary shares of PTTEP from a total of up to 650,000,000 shares to be issued by PTTEP. This will enable PTT to maintain its shareholding at approximately 65.29 percent of PTTEP’s total issued shares after PTTEP’s offering (before the exercise of greenshoe option). The price per share to be paid by PTT will be the same to the price offered to other investors, and will be determined via book building, a price discovery process in which demand within a price range from domestic and international institutional investors are collected.
In addition, the Board of Directors has also approved to lend up to 32,162,000 of PTTEP’s shares held by PTT to the Over Allotment Agent for the purpose of price stabilization of PTTEP shares during a period of 30 days from the day following the last subscription day for PTTEP newly issued shares.
Dr. Pailin also added, “PTT has a mission to ensure the energy security and the sufficiency of energy supply for Thailand. Through our support by purchasing PTTEP’s newly issued shares, PTTEP will be able to operate consistently and efficiently and develop quality petroleum resources for the benefit of the country. PTT’s financial position remains strong with adequate liquidity to support this fund raising”.
PTT’s Board of Directors has authorized the President of PTT or any persons appointed by the President of PTT to take actions in relation to the purchase of PTTEP’s newly issued shares including share subscription and share payment, to negotiate, agree to and execute relevant documents and agreements, and to take any other necessary and appropriate actions.