The State Enterprise Policy Office (Sepo) has kicked off its planned divestment of 72 privately owned companies in which it owns less than a 50% stake by putting 18 non-listed securities on sale.
Sepo is waiting for bids from interested people after the divestment of the 18 securities was announced late last year, said a source with the office.
The 18 securities include Siam City Insurance Plc; four companies under the Davis Group, seized from ex-massage parlour king Chuvit Kamolvisit -- Davis Golden Star Co Ltd, Davis Copa Cabana Co Ltd, Davis Silver Star Co Ltd and Davis Diamond Star Co Ltd; Bangkok Shipping & Trading Co Ltd; Thakolsuk Co Ltd; Prachuap Sugar Industry Co Ltd; Royal Craft Ltd; and Oxygen Phaktai Co.
The cabinet on Sept 27, 2017 resolved to permit the Finance Ministry to sell shares in non-listed companies in which the ministry owns less than 50%, as well as assets that were derived from foreclosures. The auctions are to comply with the five-year divestment plan through 2021.
The ministry's policy is to only hold stakes in companies that operate in strategic industries, or in sectors that are crucial to the country's development, or if they are related to public services, such as utilities or finance.
Shares of 109 listed and unlisted companies are held by the Finance Ministry, with a combined market value of 1.15 trillion baht and a book value of over 800 billion, according to Sepo data from 2017.
Of the total, 20 are listed companies: six are state enterprises with a book value of almost 500 billion baht, and 14 are privately owned firms with a book value of 26 billion.
The remaining 89 are non-listed firms, comprising 17 state enterprises with a book value of 287 billion baht, while 72 are privately owned companies with a book value of 5.16 billion.