Bids by energy giant PTT Plc to acquire shares of Switzerland-based Mercuria worth up to US$600 million have been stalled after the deal was attacked, with executives saying information about the bids has been largely distorted.
PTT, also the largest stock on the Thai bourse, was approached by Mercuria's financial adviser, the investment bank Credit Suisse, as potential buyers of 10% to 20% of the Swiss trader's shares for $300-600 million, said an executive of PTT who asked not to be named.
"We are one of many companies that were approached. But we are still in the very early stages and we haven't received any information yet," the executive told the Bangkok Post.
Yet the talks to acquire a stake of Mercuria were halted by management after the proposed acquisition was criticised by opponents online, some saying the deal was pushed by politicians.
"The information has been so distorted we don't even know what to clarify," said the executive.
Energy Minister Pongsak Raktapongpaisal brushed aside criticism about political interference in the deal.
On the Thai blog Vagainstcorruption.blogspot.com, posters asked why PTT is considering buying it.
In an email to the Bangkok Post, they attached a photograph of PTT staff wearing black outfits and a mask to protest against corruption at PTT and the proposed Mercuria share purchase.
"Our sources within PTT supplied us with this photograph of a protest the staff held to show their discomfort with the proposed Mercuria deal," said the email. "The staff expressed their sadness and anger by wearing black ... something they intend to do again in the near future."
Shares of PTT closed yesterday on the SET at 326 baht, down 12 baht, in trade worth 1.47 billion baht.
