A mid-tier domestic bank focussed on the local consumer loan market. It was bailed out by the Government at the turn of the century and since restructured, with the State owning half. With its historic bad debts all written off by the Treasury and tight controls over its lending, it proved a rare case of being wholly unexposed to the global sub-prime fiascos. After the stock price ran up, it was subsequently cut.
Siam City Bank was merged with Bangkok Metropolitan Bank and nationalised, with all non-performing loans removed from the balance sheet by the government, which still retains a 48% stake. The bank is trading close to book value, and investors are rewarded by a 6% dividend yield. The Thai economy has been on ice, due to the lack of resolution of the political situation. Any pick-up in lending will lead to a re-rating.
| Sedol |
Type |
Price |
Date |
| 6363202 |
Sell |
THB 17.27 |
08/04/2008 |
| 6363202 |
Buy |
THB 18.211 |
01/03/2007 |
| 6363202 |
Buy |
THB 18.65 |
30/06/2006 |
|
