Thailand’s Thanachart Bank has proposed a rights issue to raise Bt40bn ($1.2bn) to fund the purchase of a 47.6% stake in Siam City Bank. Bangkok is selling the stake in SCIB it acquired 10 years ago in the wake of the Asian financial crisis. The rights issue depends on whether Thanachart wins the bid for the stake, but it is facing little competition. Shareholders in Thanachart, including Canada’s Bank of Nova Scotia, which holds a 49% stake, approved the rights issue this week.

This entry was posted by Gwen Robinson on Thursday, October 8th, 2009 at 4:43 and is filed under Capital markets, M&A. Tagged with Bank of Nova Scotia, SCIB, Thanachart Bank. Edit this entry.