Bangkok: LAWFUEL – The Legal Newswire – Leading law firm Clifford Chance has advised ING on its latest expansion in Asia – the acquisition of a stake in Thailand’s TMB Bank valued at EUR460 million.
The strategic investment forms part of TMB’s capital raising plan to strengthen its capital adequacy.
“TMB is now set to become the largest of the seven Thai banks that have foreign strategic shareholders, in a deal that marks the fourth occasion on which Clifford Chance has advised foreign investors acquiring strategic shareholdings in Thai banks,” said partner Andrew Matthews, the firm’s head of corporate in Thailand.
Under the terms of the agreement, TMB will allocate 25,000 million shares at a price of THB1.60 per share to ING and at THB 1.40 per share to existing investors. ING will acquire a stake of 25.1% in TMB voting shares and a further 4.9% either in voting shares or in non-voting shares (through tradable depositary receipts).
TMB is one of the leading banks in Thailand with approximately EUR14 billion in total assets, over 5 million customers and 472 branches throughout Thailand.
The transaction is still subject to TMB shareholder approval and regulatory approval from the Bank of Thailand, the Thai Ministry of Finance and the Dutch Central Bank.
Andrew Matthews led the team in Bangkok advising ING, which comprised counsel Angela Nobthai, senior associate James Boulton and associate Banphot Kittikinglert.