Kasikornbank halts plans to sell stake in asset administration enterprise

Kasikornbank (KBank) Public Company Limited, the second-largest lender in Thailand, has put the plans to promote a share in its asset management enterprise on hold, in accordance with individuals familiar with the scenario.
Negotiations between KBank, based in Bangkok, and several potential buyers have reached an deadlock as a end result of disagreements on terms of a potential agreement, stated these familiar with the matter, who requested anonymity as a end result of private nature of the discussions. Previously reported by Bloomberg News, Amundi SA of France, and buyout firms CVC Capital Partners and TPG Inc. have been among the fascinated parties.
Since last year, KBank has been contemplating choices like selling a minority or majority stake to find a way to strengthen its asset administration platform. The financial institution initially aimed for a valuation of as a lot as US$2 billion, in accordance with sources with data of the matter.
A final decision has not but been made, however some suitors are still fascinated if the value is right, said the unnamed sources. Representatives from Amundi, CVC, and TPG declined to comment on the matter.
A spokesperson for KBank also declined to comment and instead referred to a press release made in January, by which the corporate had indicated that asset management is one of its important companies and regularly holds discussions with varied events as part of normal operations. Furthermore, the lender continuously strives to discover new business opportunities and strategies of benefiting shareholders, as per the assertion.
No problem experienced minimal adjustments last Friday in Bangkok. This 12 months, the stock has fallen by approximately 8%, rendering the lender a market value of roughly US$9.5 billion. An investor presentation revealed that on the finish of final yr, KBank’s asset management arm managed around 1.forty nine trillion baht (US$44 billion)..

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