Acquisition of PrimaVest approved by BAY

Bank of Ayudhya approved Ayudhya Fund Management Company Limited's move to acquire 100 percent of PrimaVest Asset Management Company shares. The transaction is expected to be completed by July 2009 subject to approvals of Securities Exchange Commission and relevant authorities.

PrimaVest is a company owned by BBTV Equity Co., Ltd., 50.5 percent; Ayudhya Allianz C.P. Pcl., 39.5 percent; and Bank of Ayudhya, 10 percent. A total consideration of this transaction is US$2.964 million. At the same time, Ayudhya Fund Management's or AYF's shareholding structure will be adjusted to have BBTV and AACP holding approximately 13 percent and 10 percent stakes respectively while BAY will remain the major shareholder with approximately 77 percent shareholding.

"The restructuring and streamlining of Bank of Ayudhya’s affiliates is a strategic move. It aims to enhance competitiveness of the Bank’s fund management business as well as leverage operational efficiency from better economies of scale," said Mr. Tan Kong Khoon, President and Chief Executive Officer, Bank of Ayudhya Public Company Limited.

"Meanwhile, customers of both AYF and PrimaVest will benefit from excellent services to be provided by a stronger team. In addition, a more complete range of investment products will be offered when the two companies are completely integrated," he added.

Mr. Chatrapee Tantixalerm, Chief Executive Officer, Ayudhya Fund Management Company Limited, said, "The acquisition of PrimaVest will allow AYF to have a wider variety of funds under management and unite investment experts into one team. Customers of both companies will not receive any impact from this acquisition and changes in shareholding structure since management policy of each fund will remain unchanged."