Billionaire Sarath Ratanavadi is merging his Bangkok-listed Gulf Energy Development with Intouch Holdings in a deal that will create a combined entity worth over $20 billion. The merger will simplify the shareholding structure and Gulf Energy will hold a 47.4% stake in Intouch. Shareholders of Gulf Energy will receive 1.02974 shares of the new company for each share held, while Intouch shareholders will receive 1.69335 shares. The merger is expected to be completed in the second quarter of 2025, leading to increased efficiency and potential for future growth.
The merger will create a balanced business portfolio between energy and infrastructure businesses and digital business, enhancing resilience and fostering sustainable growth. Gulf Energy, a major private electricity producer in Thailand, has been diversifying into telecommunications and digital businesses. As part of the restructuring, Gulf Energy, Intouch Holdings, and Singtel Strategic Investments will make a tender offer for a stake in Advanced Info Service, a leading provider of mobile phone, broadband internet, and digital services in Thailand. Singtel Strategic Investments owns 23.3% of Advanced Info Service, while its parent company Singapore Telecommunications owns 24.99% of Intouch. Upon completion of the amalgamation, Singapore Telecommunications will own 9.1% of the merged entity.
In addition to the merger with Intouch Holdings, Gulf Energy will also make a tender offer to buy a majority stake in satellite operator Thaicom. The offer is set at 11 baht per share and is expected to be completed in the first quarter of 2025. Gulf Energy, founded by Sarath in 2007, has been expanding its investments in digital infrastructure. The company recently partnered with Google to build AI-powered cloud facilities in Thailand and plans to double its data center capacity to 50 megawatts by next year. In January, Gulf Binance, a partnership with Binance, started a cryptocurrency exchange in Thailand.
Sarath Ratanavadi, with a net worth of $9.2 billion, ranked No. 5 on the Forbes list of Thailand’s 50 richest individuals. The merger and acquisitions by Gulf Energy underscore the company’s strategic initiatives to expand its presence in the telecommunications and digital sectors. The combined entity after the merger will have a diversified business portfolio with a focus on energy, infrastructure, and digital services, positioning it for sustainable growth and enhanced resiliency in the market.
The completion of the merger is expected to bring about increased efficiency and flexibility in the operations of the new entity, while also creating opportunities for further business expansion. The tender offer for a stake in Advanced Info Service and the acquisition of Thaicom will further strengthen Gulf Energy’s presence in the telecommunications and satellite sectors, complementing its existing energy and infrastructure businesses. The successful completion of these transactions will solidify Gulf Energy’s position as a key player in Thailand’s rapidly evolving digital landscape.
Overall, the merger and acquisitions announced by Gulf Energy are aligned with the company’s vision to diversify and expand its presence in high-growth sectors such as telecommunications, digital services, and satellite operations. Through strategic partnerships and investments, Gulf Energy aims to enhance its competitiveness and unlock new opportunities for growth and innovation in the evolving digital economy. The successful execution of these strategic initiatives will not only benefit Gulf Energy and its stakeholders but also contribute to the development of Thailand’s digital infrastructure and technology ecosystem.
