Investment

True Corp refutes report that China Mobile plans to sell its entire stake

True Corp refutes report that China Mobile plans to sell its entire stake

Thai telco True Corp confirmed on Tuesday that China Mobile International is looking to sell a small chunk of its 7.81% stake in the company, but denied a Bloomberg report claiming that China Mobile planned to unload the entire stake.

A Bloomberg report on Monday, citing “people familiar with the matter”, claimed that China Mobile was coordinating with advisors to gauge preliminary buyer interest in selling its stake in True. At True’s current valuation, the 7.81% stake is worth around US$1.1 billion.

However, in a filing to the Stock Exchange of Thailand on Tuesday, True Corp CFO Nakul Sehgal clarified that China Mobile “has no intention to exit its entire investment in the Company”, and is only assessing the possibility of selling a small portion of its shares as a normal part of its investment portfolio management.

“China Mobile has confirmed that it intends to remain a long-term shareholder, regards the Company [True] as an important strategic partner, and continues to have confidence in the Company’s long-term development and business outlook,” Nakul said.

Nakul added that if China Mobile does find a buyer for the shares it intends to sell, it would have no material impact on True’s business direction, management or operations.



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