Samart has expressed interest in buying shares of Shin Satellite (ShinSat) if the move can enhance the group's businesses.

CEO Charoenrath Vilailuck yesterday said he believed all telecom firms would consider the same possibility if a chance were available and the move added value to their businesses.

"But we have yet to think about it seriously in terms of the financial aspect or if buying shares will benefit our existing businesses," he added.

Charoenrath is confident the long-standing telecom firm Samart could operate the satellite business, given its long-time experience in satellite communications-related fields.

The Samart Group has cash flow of Bt3 billion. ShinSat's market capitalisation is Bt7.746 billion.

"If we really decide to take a share, we will also see if we can develop a strong marketing and customer-service team to support the satellite service in both local and foreign markets," he said.

Samart's businesses range from satellite-dish distribution and its bid for state telecom projects to regional handset sales and air-traffic control and energy projects in Cambodia.

It has also provided the iPSTAR broadband satellite service of ShinSat on a retail basis for TOT, the wholesale marketer of the service. Earlier Samart had provided a data communications service via the small satellite system better known as V-Sat.

The situation of ShinSat is uncertain. Last Friday, Council for National Security leader General Sonthi Boonya-ratglin declared that Thailand wanted its satellites back and defined the ShinSat concession as a "national asset".

Information and Communica-tions Technology Minister Sitthichai Pookai-yaudom picked up the baton and said on Monday that one option to reclaim the satellites from "foreign ownership" was to buy all ShinSat shares.

He added that the ministry might have TOT and CAT Telecom or any interested private firms buy ShinSat shares.

An industry source said that after the remark of the ICT minister on the possible share purchase, Temasek began to mull offloading its shares in ShinSat to make money and to ease the public pressure that it controls a Thai national asset.

Shin Corp owns 41.3 per cent of ShinSat, which operates Thaicom 1, 2, 5 broadcasting satellites and iPSTAR broadband satellite.

Based on the US$214-million (Bt7.63 billion) market capitalisation of ShinSat, Shin Corp's holding is therefore valued at $88 million.

Shin Corp was founded by the family of ousted PM Thaksin Shinawatra, which sold off its controlling stake in Shin to a group led by Singapore's state investment arm Temasek in January 2006.

The move prompted massive protests against the sale of national assets. Thaksin was ousted by a military coup last September 19.

Police are probing whether Kularb Kaew, part of the group in the Temasek deal, was a nominee for Temasek's group to take over Shin. If it were proven a nominee, this would breach Thai foreign-business law.

Usanee Mongkolporn

The Nation