Author: admin
Regarding to the share hold by JTrust asia
10 Jun 2016
On 9th of June SET website had started to show JTrust ASIA PTE LTD.(JTA), our strategic partner who had converted their CD into stocks at the end of year 2015 as a shareholder. It shows that JTA hold 4.82 % while they had converted CD equivalent to 6.43%. So we think some of investors may be confused on this announcement.
In fact JTA still hold 6.43% stakes, as same numbers of stocks as they converted without selling even 1 share of them. A part of stocks are under custodian service as nomal practice.
Today we had already contacted to JTA and make this anouncement for them. JTA would like to confirm to the investors that JTA is GL’s strategic partner to expand our new, original and innovative business model ‘Digital Finance’ to the world and JTA had never sold their shares and have no intention to sell.
GL & J Trust Join Forces, Expanding Digital Finance to Indonesia
23 May 2016
SET-listed Group Lease Public Company Limited (GL), the pioneer of Digital Finance in ASEAN, has formed a solid alliance with the Japanese financial group J Trust to expand the efficient and cost-effective digital financial services to the huge Indonesian markets and elsewhere in the region.
The alliance was cemented after GL’s Board of Directors last week decided to issue US$130 million worth of convertible debentures in a private placement for J Trust Asia (JTA), a subsidiary of J Trust in Japan. This is the second batch after the first batch of US$30 million in May last year which was fully converted by JTA into GL shares at the end of last year.
J Trust is a Japanese financial group listed on the Tokyo stock exchange. Among other things, it owns the J Trust Bank, an Indonesian bank which has a local network of 62 branches.
“Our alliance with J Trust is a strategic partnership that is mutually beneficial,” stated GL Chairman and Chief Executive Officer Mitsuji Konoshita. “J Trust Bank can raise the funds locally with their deposits license while GL can manage the funds by lending to our local Indonesian clients in very efficient ways by using our unique ‘digital finance’ methods,” he added. “It’s a perfect collaboration between Bank and Finance.”
Explaining that the Indonesian business model is a “channelling” fees-based model, Mr. Konoshita said GL will not do motorcycle leasing but will diversify into agricultural machineries, solar panels and electrical appliances which are already implemented in Cambodia and being expanded to Laos. In addition, Mr. Konoshita expected to expand financing to cover areas that relate to the improvement of local Indonesians’ quality of life such as house renovation, farms improvement and inventory financing.
GL expects the Indonesian operations to turn profitable in a short period. The local joint venture company – GLFI, in which GL holds 65%, JTA holds 20% with the remaining 15% held by local Indonesian partners – is now awaiting a license from the Indonesian authorities and operation is expected to commence in this quarter.
Meanwhile, J Trust Chief Executive Officer Mr. Nobuyoshi Fujisawa also expressed confidence that the GL-J Trust alliance is a win-win partnership for both sides as they join forces to expand to the Indonesian and other regional markets.
Aside from the convertible debentures, the GL Board also decided to issue 170 million warrants (GL-W4) for shareholders at the ratio of 9:1. The warrants carry a two-year period while the debentures have a five-year maturity but both carry the same conversion price of 40 baht each. An Extraordinary Shareholders Meeting (EGM) has been scheduled for June 24 to give the final approval before both issues become effective.
GL will effectively raise more than 10 billion baht in new funds if the holders of the warrants and convertible debentures exercise all their conversion rights. The new funds will be used to support a major expansion in Cambodia, Laos. Indonesia and other new regional markets over the next 2-3 years.
Posted presentation video and documentations related to press conference on 13-May, 2016
19 May 2016
Press conference “Digital Finance Driving GL Profit to New High” as a result of 2016Q1 was held on the 13th of May, 2016, at Le Lotus 2 Room, Swissotel Le Concorde Hotel.
On the mentioned date, Chairman of Executive Committee, Mr. Tatsuya Konoshita briefed through the future outlook along with the financial results of our company.
Please refer to the following URL for video on that day
and additionally posted a video of Q&A part
and
attached PDF for the distributed materials.
Attachments
- 20160519-gl-news1-en.pdf (Size: 2,238,318 bytes)
GL Raising More Than 10 Billion Baht to Fund Major Expansion
18 May 2016
SET-listed Group Lease Public Company Limited (GL), the pioneer of digital financing in ASEAN, has decided to raise more than 10 billion baht by issuing a large batch of new warrants and convertible debentures in order to finance a major expansion program over the next 2-3 years.
According to a decision by the GL Board on May 17, a total 170 million warrants (GL-W4) will be issued to the company’s shareholders for free at the ratio of 9:1 (9 shares for 1 warrant). The warrants can be exercised at the ratio of 1:1 (one warrant for one new share) at the price of 40 baht within a two-year period.
The Board also decided to issue US$130 million worth of convertible debentures in a private placement for J Trust Asia. Carrying a 5% interest over a five-year maturity, the debentures can be converted into ordinary shares at the conversion price of 40 baht each. J Trust Asia, a subsidiary of J Trust in Japan, subscribed to the first batch of US$30 million convertible debentures in May last year and fully converted them into GL shares at the end of last year.
GL will effectively raise new capital totaling about 6 billion baht if holders of the new warrants decide to exercise to convert all their holdings while the US$130 million convertible debentures will bring in new funds worth more than 4.5 billion baht.
In order to prepare for both the shareholders and J Trust Asia to exercise their rights, the GL Board also decided to raise the company’s registered capital by 285.05 million shares. These decisions will now be tabled before an Extraordinary Shareholders Meeting (EGM) on June 24 for final approval before becoming effective.
“We need the additional funds because we are expanding on all fronts,” stated GL’s Chairman and Chief Executive Officer (CEO) Mitsuji Konoshita.
Mr. Konoshita is particularly bullish on the group’s growth potentials in Cambodia where GL has pioneered the cost-effective digital finance platform which is now being applied to its businesses in other countries in the region. He projected that GL’s portfolio in Cambodia will double from US$44 million at the end of last year to about US$100 million by the end of this year and further double to about US$200 million next year. Therefore, the new funds from the J Trust Asia convertible debentures are expected to be used up in two years.
In Cambodia where US dollar is the main financing currency, GL’s thriving hire-purchase business covering motorcycles, agricultural machineries and solar panels has now expanded to cover financing for small and medium enterprises (SMEs) that supply the GL range of products to GL’s clients.
Meanwhile, the new funds that will be raised from the exercising of GLW-4 – in Thai baht – will be used to finance the expansion of business in Laos which has turned profitable since late last year, the improvement of assets quality in Thailand and also to prepare for expansion into new markets such as Myanmar as well as possible mergers and acquisitions.
GL’s new expansion program is coming after the company has reported a record-high 222.17 million baht net profit in the first quarter this year which more than doubled from the same period last year and represents the sixth consecutive quarterly record-high profits since the last quarter of 2014.
As the company pushes ahead to expand aggressively into the ASEAN region, it has been chosen to be included in the MSCI Global Small Cap Index effective the end of this month.