Kaohoon’s Top News on June 16, 2021

– Yesterday (June 15), stocks in the banking and finance sectors closed lower as Gen. Prayut panicked following a surge in household debt. The Prime Minister urged the Bank of Thailand to revise credit card, personal, and auto title loan regulations and interest rate ceilings. Asia Plus Securities, on the other hand, believes the revision will have a limited effect on banking stocks since the majority of banks have already established interest rates below the ceiling. SCB offers a credit loan rate of 6%, while BBL charges only 0.25%.

– The Central Bankruptcy Court approved Thai Airways International (THAI)’s rehabilitation plan on Tuesday, June 16, and appointed a committee of five executives and seven creditors to supervise the plan’s implementation. Mr. Chansin Treenuchagron, Acting CEO of THAI, stated that the company will strive to release a rehabilitation plan ahead of schedule and anticipates resuming international flight operations between Europe and Phuket in response to the Phuket Sandbox program in the second half of the year. Additionally, he said that the company’s liquidity may be insufficient to last until the end of the year. As a result, the company sought to use the headquarters building as collateral for the 25 billion baht loan.

– B.Grimm Power (BGRIM) expected to complete the acquisition for the 1,200MW gas-fired power plant in Vietnam in the second half of this year and to also issue 10 billion baht debentures to support investment expansion and refinancing plans. Revenue in the second half of the year is predicted to be remarkable, as the company is expected to profit from the additional 31MW of generation capacity.

– Intermedical Care and Lab Hospital (IMH) gained over 14.50% yesterday (June 15) on speculation of an outstanding second-quarter operational performance bolstered by huge revenue from the Covid-19 testing service. Analysts recommended “BUY” on IMH with a new target price of 8.00 baht.

– Jasmine Broadband Internet Infrastructure Fund (JASIF) reiterated a strong 2Q21 operating result due to no impact on operations from Covid-19 outbreak and 3BB continuing its momentum as a result of Work from Home measures. JASIF also confirmed a dividend yield of around 10.3%.