Thailand’s energy regulator has blocked PTT’s bid to acquire power firm Glow Energy from France’s Engie for up to US$4 billion, reported Reuters.
The deal, first announced this summer, would have involved the sale of a 69.1% stake in Glow, worth up to US$2.8 billion, to Thailand’s Global Power Synergy (GPSC), a unit of state-backed energy giant PTT.
But on Thursday, October 11, GPSC announced in a statement that “the Energy Regulatory Commission . . . resolved to disapprove the application.”
“The acquisition would have led to a monopoly in some industrial areas and therefore it is considered to reduce competition,” the Energy Regulatory Commission of Thailand announced in a statement, according to Reuters.
GPSC said in a statement that it would not make the tender offer. “We respect the decision,” PTT CEO Chansin Treenuchgron told reporters, adding that an appeal would be “up to GPSC’s board.”