Frasers Centrepoint to invest $520m in Thai developer TICON

It's part of the its strategy to grow its business overseas.

As it tries to exhaust ways to grow its overseas income, mainboard-listed Frasers Centrepoint Ltd. (FCL) has signed a conditional share subscription agreement to invest $520 million in Thailand's Ticon Industrial Connection Public Company Ltd. (TICON)

FCL's wholly-owned unit, Frasers Property Holdings, is eyeing to subscribe for up to 735 million new shares of TICON.

The transaction will be subject to the approval of Thailand's Securities and Exchange Commission and TICON's shareholders, who will convene on December 19 for the matter.

Following the completion of the said transaction, FCL will hold approximately 40% of TICON’s enlarged share capital.

According to FCL Group Executive Officer Panote Sirivadhanabhakdi, the proposed investment is in line with the group's strategic direction to grow its business overseas and its recurring income.

"Thailand is one of FCL’s selected secondary markets that we believe offers positive growth prospects. With this proposed investment in TICON, FCL can extend the Group’s exposure in Thailand to the industrial market sector as well," he said.