PR88716

BANGKOK, March 26, 2021 /PRNewswire=KYODO JBN/ --

Aims to triple revenues in three years

Singha Estate PCL (S), a leading Thai property investment and development

company, announced that it has secured the exclusive rights to acquire a 30%

shareholding in three major co-generation power plants in Thailand with total

capacity of 400 megawatts, at par value, and with a total investment of

approximately US$ 44.9 million (Bht 1.392 billion).

https://mma.prnewswire.com/media/1474807/Singha_Estate.jpg

Thailand’s Singha Estate secures exclusive rights for 30% shareholding in three

major co-generation power plants

The first of the plants is an operational 123 megawatt (MW) combined cycle

co-generation power plant that is owned and operated by Angthong Power Company

Limited and located in the 'World Food Valley' industrial estate in Ang Thong,

Central Thailand.

The second and third plants, each with 140 MW capacity, are greenfield

operations that are currently under construction and will enter into service in

2023. They are also located in the 'World Food Valley' industrial estate. The

licences for these power plants are owned by B.Grimm Power (Ratchaburi) 1

Limited and B.Grimm Power (Ratchaburi) 2 Limited.

The three acquisitions are subject to Singha Estate's shareholders' approval at

its Annual General Meeting on 23 April 2021.

Mr. Chutinant Bhirombhakdi, Chairman of the Board of Directors of Singha Estate

PCL, said, "We have secured these rights under very attractive terms. They are

an important part of the jigsaw that will make Singha Estate into one of

Thailand's foremost property, power generation, and engineering services

companies, while tripling revenues to around US$ 646 million in three years."

Mrs. Thitima Rungkwansiriroj, Chief Executive Officer, Singha Estate PCL, said

that Singha Estate is pursuing a strategic broadening.

"We are developing the business across four, connected platforms. It's an

approach that makes Singha Estate unique and opens up much wider commercial

opportunities than would be possible as a pure property development company. It

also gives us greater competitiveness through complementarities, commonalities

and integration, as well as greater stability through portfolios that have

different business cycles, different risk profiles, and an ability to generate

recurrent income.

"The emergence of many extra-large-scale development projects in Thailand and

Singha Estate's integrated approach that combines hospitality, residential,

commercial and industrial property development with power generation and

related innovative businesses will give us unrivalled advantages in capturing

some of these huge, new opportunities," she said.

Mrs. Rungkwansiriroj added, "Licences for power generation plants of this size

are a very rare commodity in Thailand, so we are especially pleased to have

secured exclusive rights to a substantial stake in three important power

plants. They will give us an immediate and sure-footed presence in this sector."

She added that 270 MW, or close to 70% of the combined output of the three

power plants, is already pre-sold at guaranteed prices, assuring sustainable,

recurring revenues for Singha Estate.

The three power plants are expected to generate around US$ 242 million in

revenues in 2024.

Mrs. Rungkwansiriroj said, "Singha Estate has a draw-down facility with banks

so we need only put up minimal capital for these businesses, and at the tail

end, under a 'back-end equity' arrangement."

Singha Estate has a low net debt-to-equity ratio of 0.96 and access to Bht 25

billion in credit facilities.

Singha Estate's commercial property businesses include 140,000 square metres of

commercial office and retail space contributing approximately 15% of its total

revenues in 2020. It has 39 hotels and resorts with 4,600 keys across five

countries, contributing approximately 24% of revenues. And, it has 23

residential development projects that include single-detached-houses,

townhouses, and condominiums under the Santiburi, The ESSE, and brands,

contributing 57% of its revenues.

According to Mrs. Rungkwansiriroj, Singha Estate aims to enter local and global

partnerships that will bring competitive expertise and additional global reach.

For more information, please contact:

Investor relations - Maysenee Ratnavijarn

Tel: +6692 417 5491

Email: IR@singhaestate.co.th

SOURCE  Singha Estate

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   Caption: Thailand’s Singha Estate secures exclusive rights for 30% shareholding in three

major co-generation power plants