Mergers and acquisitions
Siam Cement Group (SCG) has started setting new targets for mergers and acquisitions (M&As), which are crucial for companies wanting to enter new markets and improve assets in areas such as research and development.
The company is currently focusing on developing its technological capability. SCG has previously collaborated with other companies and established joint ventures to expand in this area. Kan Trakulhoon, President and Chief Executive Officer of SCG, told local press at a conference that Siam Cement has begun to set M&A targets for foreign technology companies.
M&As are also an important part of the group’s expansion strategy in the ASEAN region and in the upcoming integrated ASEAN Economic Community (AEC), which will be established in 2015.
Positive outlook for 2014
Despite delays in the Thai government’s infrastructure plan, SCG has forecast a growth in revenue of 10% in 2014. Domestic consumption of cement is expected to grow at a lower rate of 2 – 3% due to ongoing political conflicts surrounding the upcoming elections.
Kan Trakulhoon told local news sources that the company’s revenue would not be affected by the delay in the government’s infrastructure plan as the forecast did not take these projects into account. A large amount of revenue will be generated in 2014 from SCG’s involvement in the expansion of the subway network and skytrain system in Bangkok.
Edited from various sources by Rosalie Starling
Read the article online at: https://www.worldcement.com/asia-pacific-rim/20032014/new_merger_and_acquisition_targets_for_siam_cement_920/