Sarath Ratanavadi has solidified his position as Thailand’s wealthiest individual, with his fortune on the rise driven by the imminent completion of the merger between his energy and telecom entities.
Over the past three months, Sarath’s net worth surged to over $16 billion, marking an increase of approximately $7 billion as per the Bloomberg Billionaires Index. This significant growth follows a substantial 52% increase in shares of Gulf Energy Development Public Company Limited (SET: GULF), positioning him among the top five in Asia’s energy and power sector alongside notable figures like Mukesh Ambani and Gautam Adani of India.
Investor confidence in Sarath’s strategy to amalgamate Gulf Energy with Intouch Holdings Public Company Limited (SET: INTUCH), a major telecom operator in Thailand, has been evident through robust shareholder support for the merger, leading to subsequent equity upswings.
Sarath, a 59-year-old Bangkok native, has expanded his domestic empire by acquiring power plants in Europe and the US, in addition to branching out into deep-sea ports, cryptocurrency trading, and data centers.
However, despite positive perceptions of Gulf Energy’s future prospects fueling the hot stock rally, some analysts caution that optimism may be overheating amid recent price surges.
In late July, Sarath surpassed beverage-and-property tycoon Charoen Sirivadhanabhakdi, aged 80 with a net worth of $13.4 billion, to become the wealthiest individual in Thailand according to the Bloomberg Billionaires Index. This transition coincided with the announcement of the proposed merger on July 16.
As the integration of Gulf Energy and Intouch approaches completion in early 2025, the combined entity is set to become Thailand’s second-largest company, trailing only Delta Electronics (Thailand) Public Company Limited (SET: DELTA) in market value.
Following a recent surge in share prices and overwhelming shareholder approval of the merger, Sarath’s vision for a transformed Gulf Energy is poised to reshape investor perceptions from a traditional power business to a tech-driven enterprise with significant growth potential.
Gulf Energy shares are currently trading at over 35 times their trailing 12-month earnings, which is considered a premium compared to most global peers as per Bloomberg data. The stock price stands around 7% above the average estimate derived from Bloomberg analysts.
