A virtual joint shareholders' meeting between True Corporation and Total Access Communication (DTAC) yesterday voted in favour of the list of board directors and management for the merged company, led by the chairman and chief executive of True.
The merged company will be named True Corporation, according to a majority of the shareholders.
The agenda proposed for voting yesterday was in accordance with the previous resolutions of the boards of True and DTAC.
The meeting paved a legal path for the registration of the merged company with the Commerce Ministry.
On Jan 12, DTAC and True notified the Stock Exchange of Thailand (SET) that their boards approved the calling of a virtual joint shareholder meeting for Feb 23, before moving it to yesterday.
The last trading date of DTAC and True shares was Feb 20, while the first day of trading for the merged company's shares is to be March 3.
A total of 11 names were proposed and approved for the board, led by Suphachai Chearavanont, chief executive of Charoen Pokphand (CP), as chairman of the merged company, while four names were proposed for the management, led by Manat Manavutiveth, co-president of True, who will be chief executive.
Pisut Ngamvijitvong, senior equity research analyst at Kasikorn Securities, said the meeting met the legal requirements to continue establishing the merged company.
Typically the board of directors formed by a joint shareholder resolution will appoint executives and management.
Following the appointment, executives formulate business plans and make proposals to the board for approval, before informing the SET of the details, he said.
It is normal for the meeting to focus on specific issues related to the proposed board members and details that may affect shareholders, said Mr Pisut.
He said the number of proposed names for the new board and management is seen as an equal partnership between representatives of DTAC and True, including its parent company CP and China Mobile, a True shareholder.
However, the moves show DTAC shareholder Telenor is becoming a silent partner in the merged firm, Mr Pisut said, rather than its current role as a day-to-day operator.
In the organisational structure of the merged True Corporation, Telenor representatives are expected to fill positions related to procurement and finance, focusing on dividends or return on investment.
All agenda items passed easily at the meeting as the combined stakes of Telenor, CP and China Mobile accounted for more than 70% of shares, Mr Pisut said.
