GPSC completes the acquisition of GLOW shares with synergizing in power production capacity to serve energy security.

GPSC has bought 69.11% stake in GLOW for THB 93,000 million, and is preparing for the tender offer of all remaining 30.89% shares in GLOW from retail investors for THB 40,000 million. The combined strengths between both companies with total power production capacity of 4,726 MW (Megawatts) will ensure that the future power needs from industrial customers can be served.

Mr. Chawalit Tippawanich, President and Chief Executive Officer of Global Power Synergy Public Company Limited (“GPSC”), said the Energy Regulatory Commission (ERC) has approved the acquisition transaction of Glow Energy Public Company Limited (“GLOW”) by GPSC under the condition that GLOW divests GLOW SPP1 Company Limited before or at the same time as the acquisition between GPSC and GLOW. After the completion of such condition, on March 14, 2019 GPSC has directly and indirectly acquired shares in GLOW which are equivalent to 69.11% from ENGIE Global Developments B.V., the major shareholder of GLOW, at the price of THB 91.9906 per share which is equivalent to THB 93,000 million in total.

GPSC is preparing to make a mandatory tender offer for all remaining shares in GLOW, to comply with the regulations of the Stock Exchange of Thailand (SET) and the Securities and Exchange Commission (SEC), which is equivalent to approximately 30.89% of the total issued shares, at the same price that GPSC acquired the shares from ENGIE Global Developments B.V.. The tender price may be decreased by the amount of the dividends and/or any other rights declared should GLOW announce the rights of its shareholders to receive dividend payment or any other rights prior to the end of the Tender Offer period. The date of Tender Offer submission is expected to be on March 22, 2019.

After the acquisition, in addition to GPSC's existing power production capacity of 1,955 MW, GPSC will have a combined total power production capacity of 4,726 MW, inclusive of an increased capacity of 2,771 MW from GLOW. This will enable GPSC to grow substantially by expanding its industrial customer base.

“GPSC is ready to serve all clients by delivering reliable electricity source to all customers as well as creating innovation in power business. The acquisition will combine the strengths of both companies through operational synergies and cost reduction. This will result in the stability of national energy supply, particularly in the Eastern Economic Corridor (EEC) where investments are expected in the long run” said Mr. Chawalit.

Back15 March 2019