Bangchak Petroleum to acquire 40% stake in Thai Agro Energy

Bangchak Petroleum PCL (BCP) of Thailand announced that it intends to acquire a 40% stake in Thai Agro Energy PCL from Lanna Resources PCL and 22 minority shareholders. The acquisition, which is expected to cost approximately US$14.5 million, involves the acquisition of 320 million shares. A company statement says, “The transaction supports BCP’s direction in expanding the new alternative energy business in order to add business value and diversify risk associated with BCP’s revenue source. It also supports the government’s policy to push Thailand to be the regional ethanol hub.” Thai Agro manufactures and distributes ethanol fuel products. The acquisition is expected to be completed by the end of June. (May 9,2011)