This is in accordance with the proposal of the Fund Ethics Committee. After the unacceptable risk of the two companies being involved in theviolate human rightsinMyanmar After the unrest incident since 2021
The ethics committee also stated that Thailand’s two energy giants are partnering with a company owned by the Myanmar government and military by PTT Exploration and Production Public Company Limited or PTT Exploration and Production Public Company Limited. PTTEP subsidiary of PTT has entered into an alliance with the Myanmar Government’s Myanma Oil and Gas Enterprise (MOGE). to explore andnatural gas productionThree locations off the coast of Myanmar
while OR Has a joint venture with the Myanmar Economic Corporation (MEC) of the Myanmar Army for the construction of an oil depot and a liquefied natural gas filling plant (LNG) equals that the business of the group PTT contributes revenue to the Myanmar Armed Forces. to be used in support of military operations and violence Contrary to the fund’s practices The Ethics Committee therefore proposed cutting PTT and OR shares held by the fund, both in the proportion of 0.35% and 0.23%.
As soon as the news came out, it had a negative impact onPTT stock price and OR immediately. In the past week, PTT’s share price dropped 0.8% and OR dropped 2.12%. At the same time, there were concerns that other foreign funds Will you give up investing in both stocks again or not?
In order to reduce panic, PTT recently came out to clarify the current news that occurred by stating that PTT respectshuman rights principles And there is deep concern about the violence that has occurred in Myanmar after the2021 coup by PTT supports peaceful resolutions obey the law and international practice In the past, the company has closely monitored the situation. to improve the decision-making process management To ensure that such investments will support the Sustainable Development Goals. Helps increase the potential for equal access to energy sources.
The OR section issued a statement on business operations in Myanmar. The company acquired a 35% stake in Brighter Energy (BE) joint venture in 2019 to operate in wholesale and storage of petroleum products. The construction of a petroleum product depot is under construction. To aim to create and improve the quality of life for the people of Myanmar.
In 2021, there was a violent incident in Myanmar, includingboycott (Sanctions) from many countries The Company has expressed its intention as a minority shareholder that BE halts the construction of the treasury, provided that OR will not make any additional capital payments and BE must not make payments to any person on the sanctions list. and strictly implementing guidelines and policies that will not be involved in supporting violence. and human rights violations arising from BE’s operations in Myanmar.
sideAsia Plus Securities Stating that if considering the proportion of OR shares held by investor nationality, it was found that the majority of OR shares were held by Thai investors, up to 96.6% of the total number of shares.
and have a holderforeign stocksDirect holdings accounted for only 3.4% of the total, with the number 1 group being the United Kingdom. representing 2.1% of total shares According to inquiries to the company, it was found that Norge Bank was also included in this group.
As for PTT, the largest foreign investor is also the United Kingdom, accounting for 5.85% of the total shares.
However, if there is a case where the remaining proportion of foreign groups actually sells all OR shares expected impact onstock pricewill be quite limited While the fundamental factor does not affect the projection and fundamental value in any way.