Thailand seeks to buy Thaicom from Singapore’s Temasek

BANGKOK, June 14 (TNA) – Prime Minister Abhisit Vejjajiva on Monday said that Thailand’s Ministry of Finance is seeking to buy the Thaicom satellite back from Singapore-based Temasek Holdings, citing national security concerns.

The premier however said the purchase of Thaicom satellite is highly possible and that will be made in a logical and transparent manner in terms of price and other conditions. How long it will take to finalise the transaction depends on the finance ministry.

“Looking back to the time when Temasek bought Shin Corp shares, it notified the public and the Stock Exchange of Thailand that it had no intention to buy the satellite,” Mr Abhisit said. “Therefore we are considering this issue, and the finance ministry is now negotiating with the company.”

The Thai prime minister said there is high possibility that the Thai government will succeed buying Thaicom back and the finance ministry will later consider who will take care of it when the deal is done.

The intention of the Thai government (to buy back the satellite) is mainly national security, Mr Abhisit reiterated.

The premier also disclosed that Finance Minister Korn Chatikavanich recently visited Singapore and discussed the issue with concerned officials.

Following a news report that the government will spend Bt5 billion to buy Thaicom, the premier said he has not yet considered the figures.

Singapore-based Temasek Holdings, a Singapore government-related corporation, bought Shin Corp, the family business of now fugitive ex-premier Thaksin Shinawatra in 2006.

The telecommunications firm also owns Thaicom Public Company Limited, founded in 1991 with a 30-year Build-Transfer-Operate concession from Thailand’s Ministry of Transport and Communications to operate the country’s first communications satellite. The concession expires in 2021.

His Majesty King Bhumibol Adulyadej also named the first national communications satellite, “THAICOM” which stands for “Thai Communications”.

The sell of Thaicom by the Shinawatra family in connection with the Shin Corp deal with Singapore state-owned investment company was one factor triggering street demonstrations by anti-Thaksin protesters leading to the military coup in September 2006 that ousted Thaksin from power.

The government pulled the plug on the satellite-based People Channel (PTV) station of the anti-government Red Shirt protesters under emergency rule last month, citing that it aired distorted information via Thaicom which negatively affected national security and incited chaos. (TNA)