Check out what happens if Thai Bev makes another offer for F&N

Increasing the current 29.1% stake may block APB's sale.

According to Nomura, Thai Bev has announced that “a party acting in concert with the company is exploring the possibility of making an offer for F&N”.

Here's more from Nomura:

Recall that Thai Bev acquired its initial 22% from OCBC-related parties at S$8.88 per share. Thai Bev has since raised its stake to 29.1%. If indeed it is acting in concert with another party to make a general offer for F&N, the offer price will have to be at S$8.88 or higher.

If Thai Bev and its concert party make a general offer before the 28 September shareholder meeting to decide the APB sale, Thai Bev will effectively be blocking the sale of APB. The other scenario is that Thai Bev and its concert party may wait for the sale of APB to go through before making an offer.

We maintain our Buy Rating on the shares with a target price of S$9.86 on the basis that the divestment and capital reduction will enhance returns for shareholders. A potential offer by Thai Bev and its concert party will at least underpin the share price at S$8.88, in our view.