True Corp will welcome China Mobile International Holdings as the second largest shareholder.
The board of directors resolved today that the company would issue 10 billion new shares. While 5.65 billion shares will be offered to existing shareholders, the remaining 4.4 billion shares would be offered to China Mobile in a private placement.
As of March 18, Charoen Pokphand Group holds 26 per cent of the company's shares. With 4.4 billion shares, China Mobile will hold an 18 per cent stake in the Thai telecom company.
The shares will be offered at Bt6.45 apiece, against the company's share price of Bt7.45 today. In the past month, the company's share price had been moving between Bt6.65-Bt7.55.
The planned recapitalisation is subjected to shareholders' approval
The share trading was halted in the afternoon on the company's request.