SET-listed Siam Cement Group (SCG), Thailand's largest cement producer and industrial conglomerate, has restructured its ceramic tiles business in Thailand by merging five subsidiaries in a bid to raise operational efficiency.
President and chief executive Roongrote Rangsiyopash said the company's board of directors on Dec 20 approved the plan to amalgamate those subsidiaries engaged in the manufacturing and distribution of ceramic tiles in Thailand.
The subsidiaries are currently separate entities with varying shareholding structures and indirectly held by SCG through Cementhai Ceramics Co Ltd.
After completion, a single listed entity and one of the five subsidiaries, Thai-German Ceramic Industry Plc (TGCI), will assume all assets, liabilities, rights, duties and responsibilities of the other four companies. The move is subject to the approval of the Stock Exchange of Thailand, Mr Roongrote said.
The five subsidiaries are: Thai Ceramic Co Ltd, TGCI, Siam Ceramic Group Industries Co Ltd, Sosuco and Group 2008 Co Ltd and Gemago Co Ltd.
The move will make TGCI a flagship under SCG Group in making and distributing tiles and ceramics.
Total assets of the subsidiaries were 13.4 billion baht as of Sept 30, while total revenue stood at 13.7 billion, Mr Roongrote said.
SCC shares closed yesterday on the SET at 494 baht, up two baht, in trade worth 675.9 million baht.