Kaohoon’s Top News on September 8, 2021

– Through the synergy with Intouch Holdings (INTUCH), Gulf Energy Development (GULF) will implement a new policy in order to expand its business in maximizing its benefits.  Analysts anticipate that GULF will hike dividend payments following the Cabinet’s approval of the decision to alter the satellite concession contract, increasing INTUCH’s ownership in THCOM to at least 51% from the current 41.13%.

– IRPC inks a contract with a contractor to proceed with the 13 billion baht UCF project. The project’s objective is to increase refinery efficiency and raise the quality of diesel fuel to Euro 5 standards. Commercial production, according to IRPC, is anticipated to begin in 2024.

– With a backlog of more than 1,000 million baht, Proen Corp (PROEN) is confident that the company’s earnings outlook would strengthen in the second half. PROEN expects to be awarded of 7-8 projects worth 100-200 million baht each, with the goal of launching cloud top-up services in the third quarter of 2021 and investing in building of a blockchain-crypto platform.

– DBS Vickers Securities increases its weighting in seven banking stocks with a high upside potential and a low price-to-book ratio of 0.7x. These stocks include BBL (0.7x P/BV, 69% Upside, 3% Yield), KBANK (0.6x P/BV, 60% Upside, 2.5% Yield), SCB (0.8x P/BV, 11% Upside, 3.8% Yield) and TTB (0.5x P/BV, 23% Upside, 3.8% Yield). 

– The Cabinet gives a green light for the project of Million House Phase 2 under the budget of 20 billion baht. The government would cap housing prices at 1.2 million baht and offer repayment terms of up to 40 years at a fixed interest rate of 1.99% per year for the first four years.

– Srisawad Capital (SCAP), a subsidiary of Srisawad Corporation (SAWAD), has increased its loan target to 5 billion baht from 4 billion baht, a 200% growth, as Thailand’s economy continues to improve in 4Q21. SCAP is also prepared to raise capital through the stock market in the next 1-2 years.