Under the equity investment arrangement with Luxembourg-based Global Emerging Markets, the firm has the option to purchase up to THB 1.75 billion of stock, not exceeding 19,9% of the outstanding share capital of SABUY. As a long-only and passive firm, GEM will not have any involvement in the management of SABUY.
“With SABUY’s unique business model, strong growth prospects, unlocked equity value and quality management, GEM has decided to choose SABUY as its first investment in Thailand. However, since SABUY has no plan to issue new shares, GEM structured and executed the equity investment arrangement directly with the major shareholders of SABUY whereby the sellers have the right to sell SABUY shares to GEM under the THB 1.75 billion committed facility. The sellers could use part of the proceeds for the upcoming equity warrant conversion of SABUY, which will in turn strengthen the financial position of SABUY further. Needless to say, SABUY will have a stronger, more diversified shareholder base and has receive further interest from other global investors”, said SABUY Executive Director and CFO Mr. Narongchai Wongthanavimok.
