The share price of Jasmine International Public Company Limited (SET: JAS) and Jasmine Broadband Internet Infrastructure Fund (SET: JASIF) plunged in the morning session after the resolution of its Extraordinary General Meeting of unitholders yesterday in a disapproval of one of the agenda that could lead to a deal cancellation from Advanced Info Service Plc. (SET: ADVANC).
Yesterday, the Extraordinary General Meeting of unitholders of JASIF on Tuesday, October 18, 2022, voted to approve the sales of JASIF and Triple T Broadband Public Company Limited (TTTBB) to Advanced Wireless Network Co.,Ltd. (AWN), a subsidiary of ADVANC, but disapproved the waiver of and/or amendment to certain provisions relating to the lease and rental payment of optical fibre cables, the termination of the Rental Assurance Agreement and the Marketing Services Agreement and other related amendments.
The third agenda was approved for: (i) the waiver of and/or amendment to certain provisions relating to the Undertaking Agreement, (ii) the termination of the Escrow Account Agreement, and (iii) the amendment to the Fund’s scheme to the extent necessary to reflect the unitholders’ resolution.
However, in September, ADVANC announced an additional proposal on advance rental payment to JASIF worth THB 3,000 million in exchange for the completion of the Shares Acquisition and Investment Units Acquisition Transaction in TTTBB and JASIF.
Pursuant to the Sale and Purchase Agreement of Shares and Investment Units, there are certain key conditions precedent, including the unitholders’ meeting of JASIF to approve the termination of the Amended and Restated Rental Assurance Agreement and the determination of the new rental under the Amended and Restated Main Lease Agreement, as detailed in the reference document.
With the aforementioned conditions by ADVANC, the market is now expecting the deal to be waived.
The share price of JAS fell THB0.14 or 5.51% to THB2.40 per share, while JASIF dropped THB0.30 or 3.59% to THB8.05 per share.