Finance Ministry reducing equity holding in THAI

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BANGKOK, Dec 3 – Thailand's Ministry of Finance will reduce its equity holding in Thai Airways International (THAI) to less than 50 per cent next year to relieve the national flag carrier of state enterprise status and achieve more efficient management.

Permanent Secretary for Finance Areepong Bhoocha-oom said it is likely the ministry will reduce its stake in THAI to less than 50 per cent from its current holding of 51.03 per cent so that the company is able to conduct its business more efficiently.

At present, the national flag carrier is negotiating with its creditors to revise loan conditions requiring the ministry to hold a more than 50 per cent stake in THAI.

“THAI wants to streamline its management to operate like a private company. We think it is not difficult if we need to reduce our equity holding in the company by 1 to 2 per cent.

“Still, we have not yet discussed how much stake will be reduced. We must wait until the company finishes negotiating with its creditors,” said Mr Areepong. (MCOT online news)