Thai Billionaire Sarath Ratanavadi to Merge Energy and Telecom Empires in $20.5 Billion Deal

In a move set to reshape the business landscape in Thailand, billionaire entrepreneur Sarath Ratanavadi announced plans to merge his energy and telecom companies into a single entity valued at approximately $20.5 billion. This strategic consolidation aims to streamline operations and enhance efficiency within his vast corporate empire.

Sarath Ratanavadi, with a net worth of $10.8 billion as of July 17, is the CEO of Gulf Energy Development, one of Thailand’s largest power producers by installed capacity. Gulf Energy Development made headlines in 2017 when it went public, raising over $700 million in Thailand’s largest initial public offering (IPO) in a decade.

Ratanavadi, ranked fifth on Forbes’ list of Thailand’s richest individuals and 200th on the Forbes Billionaires list, has a significant presence in the telecom sector as well. In 2021, he acquired stakes in Intouch Holdings and its wireless unit, Advanced Info Service (AIS), positioning himself at the helm of Thailand’s most valuable mobile phone operator.

The planned merger between Gulf Energy Development and Intouch Holdings was revealed in regulatory filings. Should the merger receive the necessary approvals, the resulting public limited company will inherit all assets, liabilities, rights, duties and responsibilities of both entities.

Gulf Energy Development stated that the merger is aimed at reducing the complexity of the shareholding structure, thereby increasing management efficiency and business operation flexibility. The combined market value of the new company, based on the closing stock prices of both firms on Tuesday, is estimated at $20.5 billion by Oil Price.

This landmark merger underscores Ratanavadi’s ambition to create a more cohesive and agile corporate structure, poised to leverage synergies between the energy and telecom sectors.

Source: Oil Price