Thai Airways pockets $90mn from sale of fuel supplier stake

Thai Airways International (TG, Bangkok Suvarnabhumi) has announced in a stock market filing that it sold a 15.5% stake in the Bangkok Aviation Fuel Services Public Company Limited (BAFS) to parastatal energy company RATCH for a total consideration of THB2.71 billion baht (USD90 million). The transaction was approved by the Central Bankruptcy Court on December 3, formalised on December 23, and concluded on January 19, 2021. Following the sale, Thai continues to own a 7.1% stake in BAFS, down from 22.6%. It was BAFS’s largest shareholder prior to the sale and is now the third-largest. BAFS operates fuel storage and supply facilities at Bangkok Suvarnabhumi, Bangkok Don Mueang, Sukhothai, Koh Samui, and Trat airports. The last three are operated by Bangkok Airways (PG, Bangkok Suvarnabhumi), which holds a 10% stake in BAFS. While RATCH is currently BAFS’s largest shareholder, the company also counts Airports of Thailand (AOT) and a number of oil companies among its owners. RATCH is a power-generating company active in Thailand, Laos, China, Indonesia, Viet Nam, and Australia and is listed on the Stock Exchange of Thailand (SET). Its main shareholder, with a 45% stake, is the state-owned Electricity Generating Authority of Thailand.