Kim Eng Securities (Thailand) has been chosen to advise Thai Petrochemical Industry (TPI) on the sale of its 30-percent stake in cement maker TPI Polene, TPI’s debt administrator said.
Kim Eng will reveal details of the auction of the shares due in the last week of June, Trithip Sivakriskul, a member of TPI’s government-appointed management team, said. "We chose Kim Eng for our financial advisor because the firm proposed the lowest fee at 0.25 percent of the transaction," she said.
TPI, the country’s largest corporate defaulter, is restructuring $2.7bn of debt and plans to raise $250m from the auction. Sitthichai Mahakun, a senior Kim Eng executive, said there were no guarantees as to the selling price. "The price will depend on TPIPL’s fundamentals, the timing of the sale, and the auctioneers’ proposals," he said. He believes that the price of TPIPL should be satisfactory because its business stands to grow alongside the government’s planned megaprojects.