RATCH Acquires 99% share of “NNE” with ฿2bn for Business Expansion in Sustainable Growth

RATCH Group Public Company Limited (RATCH) has announced to enter into a Share Purchase Agreement to purchase ordinary and preferred shares of Navanakorn Electric Company Limited (NNE) at 99.97 %, totaling approximately THB 1,998.40 million, from the existing shareholders who are not RATCH’s connected persons. The share purchase will be completed after the agreement’s conditions precedent are achieved.

After the transaction is done, NNE’s shareholding structure will be RATCH Group Public Company Limited 99.97% and existing minority ordinary shareholders 0.03% (Por. Ruamsap Company Limited 0.013% and Asia Infrastructure Partner Company Limited 0.017%)

Such share purchase is to acquire the right to operate NNE’s power plant which is a gas-fired SPP cogeneration power plant with power generating capacity of 110 megawatts and steam generating capacity of 10 tons per hour. It is located in the south of Nava Nakorn Industrial Promotion Zone, Pathum Thani Province. The enterprise value is approximately THB 5,726.68 million. It has a 25-year SPP-Firm Cogeneration Power Purchase Agreement with Electricity Generating Authority of Thailand for 90 megawatts. The remaining electricity and steam are sold to industrial customers. The power plant has already been commercially operating since 31st October 2013.

This investment expands the investment opportunity in line with RATCH’s strategy with the goal to generate sustainable growth of RATCH’s Group.