Thai Airways International Public Company Limited (THAI) revealed that the rehabilitation plan administrator has submitted a request to amend the rehabilitation plan with the Receiver today. Due to the company’s cash flow levels in operations that have changed significantly for the better. As a result, the demand for new loans has decreased from the original.
There are important details in resolving the business rehabilitation plan on various issues as follows:
1. Procurement of new loans with term loans not exceeding 6 years and/or debt instruments with maturity of not less than 6 years, in the amount not exceeding 12,500 million baht. Facility) in the amount of not more than 12,500 million baht as an allowance as well.
2. To increase the registered capital of approximately 31.5 billion shares with the goal of positive equity in order to stabilize the company’s financial structure and to allow the company’s securities to be traded on the stock exchange once more. with the following guidelines
(a) granting the new credit supporter the right to purchase the capital increase shares in the same amount as the amount of the new loan that the company actually drawdown (Drawdown Amount), in the amount of approximately 12,500 million baht;
(b) allotment of newly issued ordinary shares for payment of Existing debts of financial creditors as planned with newly issued ordinary shares The Ministry of Finance, which is both a financial creditor and the existing main shareholder, will receive debt repayment by converting the entire principal debt to equity. Other financial groups and bondholder creditors will be repaid by converting 24.5 percent of the principal debt into equity, with the remaining 75.5 percent of the principal debt being repaid from the cash flow of the company. Thai Airways during the period specified in the original plan This debt-to-equity conversion will allow THAI to have additional capital and reduce its planned debt burden by approximately 37,800 million baht.
(c) Allotment of newly issued ordinary shares to request the exercise of the right to convert the planned suspended interest debt to equity at the price of 2.5452 baht per share, which enables THAI to reduce the burden of debt repayment on suspended interest by approximately 4,845 million baht.
(d) Allocation and offering for sale of newly issued ordinary shares by issuing new ordinary shares at a price that the rehabilitation plan administrator deems appropriate and not less than 2.5452 baht per share to be offered to the existing shareholders in proportion to their existing shareholding and in the event that the existing shareholders do not exercise their rights to purchase the newly issued ordinary shares or the existing shareholders do not exercise their right to purchase the newly issued ordinary shares in full to bring the partners who come to be offered for sale to employees of the Company and or (d) Private Placement, which is expected to be able to raise additional funds for THAI regarding 25 billion baht.
Total capital is expected to be received from the debt restructuring and capital structure according to the proposal to amend the plan of approximately 80,000 million baht. THAI expects to be able to complete the above capital restructuring by 2024, which If the action is in accordance with the proposed amendment plan Equity will return to positive in 2024 and the company’s securities should be able to resume trading in 2025.
3. Amend and add details of debt repayment plans of certain groups of creditors. for clarity in compliance and allow the company to have flexibility in operating its business in a situation where the industry is recovering rapidly without affecting the rights and repayment of debts of the former creditors according to the current business rehabilitation plan
4. Amend the details in the section on the achievements of the rehabilitation plan that are unnecessary and inconsistent with the current context and facts.
The rehabilitation plan administrators are confident that submitting a request to amend the rehabilitation plan this time will boost confidence among creditors, shareholders, passengers, and customers in the Company’s rehabilitation. and is an important step in laying the foundation for sustainable growth and profitability in the future in order to make the company a national airline that the people of the nation are proud of as the main airline that brings income to country and an important force in supporting and driving the country’s economic recovery in the near term
