Bank refuses renewed offer by THAI for Nok Air stake

Krung Thai Bank (KTB) reportedly turned down a renewed offer by Thai Airways to acquire its stake in Nok Air as the new price is still considerably below what the bank expected (Bangkok Post, 24-Jan-2011). Following the latest round of negotiations on 19-Jan-2011, the reiterated that THB44 represented a reasonable value for Nok shares, while THAI proposed THB30 each. Thai Airways board authorised its management on 14-Jan-2011 to improve its offer to buy the 5 million shares held by KTB for USD4.9 million (THB150 million), or THB30 a share, up from the THB13 THAI originally proposed.