Thai Oil (TOP) has announced it will sell all shares, worth 346.5 million baht, in Thai Oil Marine (TM) to Phurich Marine after the TOP board agreed to restructure the company's marine transport business for long-term growth.
The deal will lead to TM's termination as a subsidiary of TOP.
The share purchase agreement is scheduled to be signed today between TOP and Phurich Marine, a subsidiary of Prima Marine, said Wirat Uanarumit, TOP's chief executive and president, in a letter sent to the president of the Stock Exchange of Thailand.
The share purchase price is subject to adjustment by cash and debt in an amount to be agreed between TOP and Phurich Marine on the closing date, to be scheduled by June 30 next year.
TOP expects the final share purchase price to be paid by Phurich Marine on the closing date, together with expected cash to be received from TM's business operations and internal restructuring, to be around 800 million baht.
TM has equity interests in TOP Maritime Services, TOP Nautical Star, T.I.M. Ship Management, TOP-NTL Shipping Trust and TOP-NTL.
Under the restructuring plan, TOP is to acquire all shares in Thai Oil Marine International (TOMI) from TM at the expected share purchase price of 270 million baht. The company expects all TOMI shares to be transferred by June next year.
TOP's parent firm, PTT, approved a plan to set up Innobic LL Holding to enhance PTT's capabilities in its non-energy businesses, covering pharmacy, nutrition and medical equipment.
PTT president and chief executive Auttapol Rerkpiboon said the new firm is aimed at supporting PTT's new business, with a registered capital of 2 billion baht.
Under the new company's business model, long-term goals as well as human resource recruitment are expected to be completed early next year, he said.