share “Stark Corporation” collapsed since the first day of returning to trading on the board, trading for only 2 days, leaving only 22 satang from 2.38 baht/share, expecting to have a chance to continue if the problematic budget of 2022 does not turn out well, while many parties keep an eye on fundraising and How much will the accumulated profit of more than 30 billion baht be left? ready to follow the guidelines of the SEC to find a solution and handle this matter so as not to spread like stocks “More Return” after the company began to signal debt repayment
After returning to trading for only the first day (June 1), the share price of Stark Corporation Public Company Limited or STARK was sold so hard that it closed down by 2.20 baht per shares to only 0.18 baht per share, or a decrease of 92.44% from the closing price before the XP was 2.38 baht per share, trading value of 1,100.56 million baht, during the day it rose to the highest price of 0.34 baht per share and the lowest at 0.13. baht per share The sharp drop in share price is not surprising considering the company’s current situation.
Later, on June 2, 2023, the stock price of STARK closed the market with a slight increase of 0.22 baht per share, an increase of 0.04 baht or 22.22%, trading value 438.95 million baht, slightly recovering from the first day. But many people believe that the STARK stock price will not end like this. The stock price is still at risk of falling more than it is at present. especially when the pending earnings statement was announced
For STARK shares, the Stock Exchange of Thailand (SET) allows trading to resume temporarily for 1 month between 1-30 June 2023 under the rules and conditions 1. Let STARK securities be purchased with a Cash Balance account, that is The buyer must pay the full amount before purchasing the securities.
2. NC signs are posted throughout the securities trading period. To warn investors to be careful in trading securities. 3. Trading of STARK securities on the first day (June 1, 2023) has the highest and lowest price (Ceiling & Floor) not more than one time from the last trading price. last
and 4. The SET will not include STARK securities in the calculation of the SET Index (SET Index) after being banned from trading by posting an SP (Suspension) sign since March 1, 2023 due to failing to submit financial statements. financial year 2022, therefore, the market capitalization (Market Cap) was 2,413.15 million baht from 31,907.24 million baht as of May 31, 2023.
However, STRAK shares have been posted an SP sign, suspended trading since March 1, 2023 due to not submitting the 2022 financial statements as scheduled. The company clarified that The financial statements will be submitted by March 31, but would like to postpone the submission further. Claiming that some information is in the process and is in the audit of the auditor. And confirmed that the budget will be submitted by April 21 or after Songkran But until then, when there was a change in management, STARK had to postpone the submission of the problematic financial statements. and is expected to be delivered on June 16
Back to the origin of hot stocks STARK
For STARK, the name was changed from the company. Siam Inter Multimedia Public Company Limited or SMM at the end of 2018 by the “Vonarat Tangkaravakun” group came to buy shares of capital increase sold to specific investors at a price of 60 satang per share and became a major shareholder in the proportion Approximately 94% of the registered capital Then gradually sold out the shares to solve the problem of minority shareholders (free float) until the last time, “Vonarat” had only 26.85% of the shares left, which can be said to be the first profit that major shareholders receive. From the gradual cut off of the stock for 67.15% because the cost of the shares purchased was only 60 satang.
The major shareholders, both old and new, consist of Mr. Vonnarat (26.85%), CREDIT SUISSE AG, SINGAPORE BRANCH (21.85%), Stark Investment Corporation Limited (21%), Thai NVDR Company Limited. 304.11 million shares (2.55%), Bualuang Long Term Equity Fund 276.19 million shares (2.32%), SOUTH EAST ASIA UK (TYPE C) NOMINEES LIMITED (1.70%), MR.Vonnarat Tangkaravakoon (1.47%), Mr. Nattapat Supanantareuk (1.40%), Mr. Nares Ngam-apichon (1.09%) and Thai Life Insurance Plc. (TLI) (under 1%).
In addition to changing the major shareholder structure, STARK also restructured its business into the production of electrical wires and cables. operated by a subsidiary company And spent more than 500 million baht to buy a power generation company in Vietnam around the middle of 2020 and push the company to be a leader in Thailand. and Southeast Asia And to become the world’s 14th level electrical cable manufacturer and make the turnover recover Profit continues to grow The stock price has adjusted accordingly until it is a stock that is in the interest of retail investors. Including institutional investors both domestic and foreign
The images are made to look good. Become a company with a bright future, allowing STARK to raise funds flexibly. Able to borrow more than 8,000 million baht from various financial institutions, issuing debentures in the amount of more than 9,000 million baht and sold out. Issued 1,500 million shares to increase capital, sold to 11 institutional investors at a price of 3.72 baht per share, sold out, totaling 5,580 million baht.
Unable to close the budget – the capital increase does not return
That’s because since “Wonarat” went into administration and “Chanin Yensudchai” was the company’s chief executive officer. As a result, STARK’s performance continued to improve. Starting in 2019 with a net profit of 123.92 million baht, in 2020 with a net profit of 1,608.88 million baht, in 2021 with a net profit of 2,783.11 million baht and the first 9 months of 2022 with a net profit of 2,216.47 million baht, but in the 4th quarter of 2022 there was a mess in Preparing financial statements for the year 2022 until unable to submit to the Stock Exchange as scheduled Because there may be items of spending money that are not useful to show up.
At the same time, the company has defaulted on debt payments from financial institutions. and may not be able to redeem the shares upon maturity leading to the question, Where does the company’s money go? because the company has never paid dividends back to shareholders even though the company has consistent profits and refused to return the capital increase to 11 institutional investors who purchased 5,580 million baht of shares, such as Credit Suisse, Kasikorn Bank, SCB Asset Management Co., Ltd., BTA S Group Holdings Public Company Limited or BTS and many other mutual fund management companies
In spite of the plan to purchase shares of LEONI AG and LEONI Bordnetz-Systeme GmbH and shares of LEONI Kabel GmbH, a limited company registered under the laws of Germany in the proportion of 100 percent of the registered capital. with a total trading value of not more than 560 million euros, or about 20,588.90 million baht, has been cancelled, so the company should return the money to the buyer of the shares. but keep it back claiming to be used to expand investment in other areas instead It is considered a misuse of the capital increase originally announced.
Currently, no one knows what STARK’s true financial position is, other than rumors circulating that There was a massive internal corruption. artificial debt is created create false documents And shed siphons of tens of millions of millions of baht before shedding the old company’s directors, which had “Chanin” as the chief executive officer of STARK, has accelerated the repayment of debts to the subsidiary. Even though the debt is not yet due Or maybe pumping money out of the final STARK, not only this. Electric cable manufacturing company in Vietnam bought by STARK is rumored to have stocks of copper cable worth billions of baht. vanished Only “wind stock” is left, which makes many parties see this as a very spectacular setting for STARK over the past 4 years, with continuous leap growth in profits. Until it became a stock, causing investors to speculate. because lost in an illusion both foreign investors both leading domestic and international financial institutions including those funds But in the end, the stock price that used to drag up to a maximum of 5.10 baht per share in the past 12 months has now dropped to only 22 satang.
Keep an eye on the money 30 billion. Is it still there or not?
Therefore, in the case of STARK, many parties now focus on the money of the company with a total of more than 30,000 million baht due to concerns about how much is left at present. These funds come from The issuance of debentures of 9,100 million baht, including loans from financial institutions of 8,000 million baht, and the issuance of shares to increase capital, selling 11 private investors at the end of 2022, totaling 5,580 million baht, and the company’s retained earnings of 7,849 million baht, which everyone is worried about. Being taken away from the company For now, we can only wait for the financial statements for the year 2022 that the company has confirmed and ready to ship. Stock Exchange or SET in the middle of this month.
not only this There are also rumors that The former STARK executive along with his trusted lawyer has already fled the country. along with tens of millions of baht without waiting to be notified of any charges It is once again that hot stocks cause damage to financial institutions. Including both domestic and foreign funds and bondholders
At the same time, such a situation has caused many parties to keep an eye on the operations of the Securities and Exchange Commission (SEC), will be able to use any order or regulation to control the damage this time, not to Can it spread like the stock of More Return Public Company Limited (MORE)? Especially in the matter of shooting. Including checking other companies that may behave in this way or not?
However, with STARK having changed the board of directors (board) and a total of 7 executives due to the fact that the company is unable to complete the 2022 financial statements within the period And the conditions specified by the law, resulting in “Vonarat Tangkaravakoon” as a major shareholder expressed their intention to take care of such problems, causing STARK to request The SET postponed the submission of the 2022 financial statements again from the original deadline of April 21, 2023, including some information being processed and audited by the auditor. by considering together with the company PricewaterhouseCoopers ABAS Limited as the company’s auditor And the author of a special audit report, it is expected that the 2022 financial statements can be submitted within the period May-June 2023, while accelerating the preparation and submission of the company’s financial statements. for the 1st quarter and the 2nd quarter of 2023 to keep up with legal requirements
Debt STARK shakes the bank – the bond stock market
What is interesting from now on is whether the STARK problem will spread or not. And how much will it affect the bank’s creditors? because of the large amount of borrowing from banks If defaulting on debt, it will lead to large reserve expenses for the banking group. As of Q3/2022, STARK had bank loans of 8,600 million baht, of which 6,600 million baht and 800 million baht were secured by assets and debtors. number The remaining 1,200 million baht are unsecured loans.
In addition, the real estate used as collateral for a 6,600 million baht loan has an appraised value of only 1,700 million baht, raising doubts about the accounts receivable being of any significant value. In case of default Assuming the value of the property is still 1,700 million baht.
At the same time, there are also creditors in the form of debentures of at least 9,200 million baht that have already been issued in 5 sets due in 2023-2025 that may be at risk and may be affected as well. As for 9,613 minority shareholders, holding 28.84% of the shares (as of April 4, 2022), there is a risk from the shares already being SP.
Most recently, TRIS Rating downgraded the company rating of STARK Corporation Public Company Limited to “D” due to the company’s default on interest payment for debenture numbers STARK239A and STARK249A, according to the registrar’s announcement. The Company’s bondholders dated June 2, 2023 informed that the Company had decided to suspend interest payments on such bonds. The interest payment date is June 2, 2023.
In this regard, STARK informed the Stock Exchange of Thailand on June 1, 2023 that the resolution of the shareholders’ meeting of the bond company No. 2/2022 due for redemption in the year 2024 (STARK242A) held on May 31, 2023, with There were 631 bondholders attending the meeting, totaling 1,388,700 bonds, or 35.2973% of the total number of bonds. Exempted the event of default arising from the debenture issuer submitting the 2022 Annual Registration Statement later than required by law and the terms and conditions. As a result, the company has a financial debt that needs to be paid urgently.
Preliminary, the Company estimates that there will be debt default as follows: 1. Debt for debentures No. STARK239A and STARK249A, which have a total amount of outstanding principal. 2,241,000,000 baht as approved by a resolution calling for all principal and interest debts under the debentures to be immediately due.
2. Default of bonds in item (a) will result in 3 more bonds, namely bonds no. 5,635,400,000 baht, there will be a default as well making it difficult for the company to be able to pay off debts any longer
The incident of STARK refusing to submit annual budget It’s not the first time it’s happened in the stock market. But what makes STARK shares attractive to investors is Concerned about the huge amount of money raised by the company so far? Where will it be siphoned and transferred? and regulatory agencies Will the SEC be able to get it back? because of the past Only MORE stock cases have recently appeared. The SEC will be able to speed up operations quickly and instantly. At the same time, everyone hopes that STARK shares will be another securities that The SEC was able to surround the stall in time. Including that there is a timely offense
In the future, a large amount of funding It is another important issue that many parties want. SEC to increase rigor In particular, fundraising does not use the money for its intended purpose. What kind of measures will come out to cope? In order not to let other companies take STARK’s method as an example
2023-06-04 16:33:00
#STARK #continues #collapse #year #budget #bad #hope #billion #baht #left
