ADVANC-TRUE Edge Higher as DTAC Ignores 5G, Expecting Fewer Competitors in the Bidding

The share price of Advanced Info Service Public Company Limited (ADVANC) and True Corporation Public Company Limited (TRUE) rose in the morning session of January 17, 2020.

 

ADVANC closed the morning session at ฿218.00/share, increased ฿5.00/share or 2.35% with a trading value of 1,363 million baht. TRUE closed at ฿4.16/share, increased ฿0.02/share or 0.48% with a trading value of 186 million baht.

 

Asia Plus Securities states that the announcement of the resignation of Mrs. Alexandra Reich reflected negative sentiment on Total Access Communication Public Company Limited (DTAC) due to Alexandra Reich played a great role in bringing DTAC to overcome the crisis in 2018 at the end of its concession.

The dispute between Telenor Group in participating in the bidding for 5G concession gives positive sentiment to ADVANC and TRUE due to lower competitiveness in the bidding. However, the analytic team stated that the cost for 5G concession would burden the winner for at least 1-2 years.