Three-way merger of Thai Military Bank, DBS Thai Danu Bank and the Industrial Finance Corporation of Thailand
Morgan Stanley advised TMB, JPMorgan advised DTDB, and Citigroup advised the IFCT
Thai Military Bank (TMB), DBS Thai Danu Bank (DTDB) and the Industrial Finance Corporation of Thailand (IFCT) jointly announced a merger plan in March 2004. TMB would make two separate all-stock tender offers for the outstanding securities of DTDB and IFCT for a total consideration of $690m-equivalent.
The merged bank will be the fifth largest in Thailand by assets and the third largest by loans, with a customer base of four million and the second largest branch network in the country.
Aside from its bearing on the Thai banking sector, the judges noted the challenging execution, given the three-way nature and the involvement of foreign institutional shareholders, domestic shareholders and the government, as well as an absence of merger precedents in the market.
