Sabuy Technology Public Company Limited (SET: SABUY) has announced that its Board of Directors approved the investment in T.K.S. Technologies Public Company Limited (TKS) by purchasing the newly issued ordinary shares of TKS in the amount of no more than 115,000,000 shares or equivalent to 18.45 percent of registered capital after the issuance of new ordinary shares.
The company will make payment in the amount not exceeding THB 1,610,000,000 to TKS by using cash flow from the sale of up to 225,000,000 ordinary shares or equivalent to 16.90 percent of the total shares in Advanced Information Technology Public Company Limited (AIT) to T.K.S. Technologies Public Company Limited (TKS) where the company will receive consideration of up to THB 1,687,500,000.
TKS operates in production and sale of business forms, security forms, digital printing, continuous computer, and warehousing management. Meanwhile, AIT operates as a System Integrator or SI of computer system and computer communication, providing services in both the private and the public sector. Its service can be Turnkey Project including the consultation, project planning, system design, implementation, installation, training, and maintenance.
The company stated that it believes the acquisition of TKS will increase the company’s source of revenue and expand the company’s business ecosystem by increasing opportunities in offering digital solutions, warehousing services, label and packaging manufacturing, as well as system development of e-Solution and Tech Platform, as well as strengthening the ecosystem and the vision of 7 Convenient and 7 SMART to provide products and services that are more comprehensive and robust and meet the customers’ preference.
Moreover, the acquisition will also increase the opportunity to continuously generate returns, growth rates of assets, profits and cash flow for the company and its shareholders in the long run.
In the meantime, the Board of Directors also approved the waiver of the company’s right to subscribe in Buzzebees Company Limited (BZB) newly issued shares. BZB will increase its capital from THB 191,500,000 to THB 212,246,100 by issuing 207,461 new ordinary shares at par value of THB 100 per share. After the issuance of new ordinary shares, BZB will have 2,122,461 shares.
As the company is holding 30.00 percent stake in BZB, the company has the right to subscribe to the newly issue share in the same proportion or equivalent to 62,238 shares at the price of USD 62.66 per share (equivalent to approximately THB 2,187.90 per share with reference made to Bank of Thailand (BOT) weighted average interbank exchange rate as of December 20, 2022 at 34.916 THB/USD).
BZB will offer the newly issued ordinary shares to i.) Modulus Venture Company Limited (Modulus), an investment vehicle of PTT Oil and retail Business Public Company Limited (OR) and ii.) Finnoventure Private Equity Trust I (KFIN) on behalf of Bank of Ayudhya Public Company Limited (BAY). The transaction will result in reduction of the company’s holding in BZB from 30.00 percent to 27.07 percent.
In addition, the Board of Directors also approved the restructuring of business groups related to distribution, development, and maintenance of systems and computer equipment for Point of Sale System (POS) services, which currently consist of 4 companies: 1) Sabuy POS Company Limited 2 ) Citysoft Infotech Company Limited 3) Infogrammer Company Limited, which are subsidiary held by the company in the portion of 100 percent, 60 percent, and 25 percent respectively, and 4) Eatlab Company Limited, a 15 percent subsidiary held through Sabuy Accelerator Company Limited (SABUYAC) which is a 100 percent subsidiary of the company. Sabuy POS Company Limited will be the operating holding for such business group.
