CHAIRMAN’S VISION: Paiboon: We won’t interfere in papers

Published on September 14, 2005 - GMM Grammy boss says business plan based on getting access to news content. GMM Grammy chairman Paiboon Damrongchaitham yesterday expressed confidence that his proposed takeover of two major publishing firms, Post Publishing Plc and Matichon Plc, would benefit and strengthen the group’s core entertainment and media businesses.

Under the largest acquisition deal it has attempted – with a combined investment of nearly Bt3 billion – 22-year old GMM Grammy Plc is set to become the country’s largest multimedia group.

Paiboon said that on Monday GMM Grammy’s executive board had approved the purchase of up to 75 per cent of Matichon Plc.

The board also approved the purchase of a 23 per cent share in Post Publishing.

Paiboon, who is well connected to the ruling Thai Rak Thai Party, said GMM Grammy Plc was the country’s largest provider of media content. News information is regarded by the company as one significant part of media content, along with music, movies, games and sport, which are already handled by the group.

Under arrangements envisaged by the group, news and other valuable content from the Bangkok Post and Matichon will be used in other media formats handled by the company, such as TV on mobile.

Paiboon said that he had a strong intention to operate a TV station, and this was his next step once the long awaited National Broadcasting Commission is established.

He also said that acquiring Post Publishing and Matichon had nothing to do with the government or politics.

“They [the editorial staff of the publications] can write anything, if it is the truth and fact. I think that Prime Minister Thaksin Shinawatra is smart enough to know what he should do, and I also know what I should do,” Paiboon said.

“We want to diversify our investment into new media businesses, which are sustainable and long living,” he said. “Newspapers are a business that is stable, profit-oriented, and with high loyalty compared to other types of media.”

“What we could do is make the newspapers better in terms of marketing and sales,” he said.

“We respect the existing management teams of both Post Publishing and Matichon. We will talk to them first about what we can do to make the publications stronger.” He said cooperation between Post Publishing and Matichon in such areas as printing equipment would be considered in the future.

“I met and told Khun Khanchai Boonpan, co-founder and chief executive at Matichon, about the acquisition on Monday and he accepted what has happened.”

“As for Post Publishing, I will wait for Khun Suthikiat Chirathivat, one of the major shareholders, to come back from abroad on September 18 for a discussion on how GMM Grammy can help the publication.

“Similar to Matichon, we will not interfere with the existing management. Suthikiat will remain a board member.”

Paiboon would not say how many shares GMM Grammy wanted to buy in Post Publishing.

Meanwhile, Paiboon said his company’s bid for a stake in English football club Liverpool was still on track but negotiations could take another year.

Paiboon said negotiations were delayed by sportswear company Adidas’ purchase of Liverpool sponsor Reebok.

Kwanchai Rungfapaisarn
The Nation