Analysts Eye New Target Price for ‘True Corp’ at THB11.10 after DTAC Merger

True corporation (SET: TRUE) announced its enterprise value would increase by THB 250,000 million, after it merged with another big telecom, DTAC. TRUE believed it will become Thailand’s number one with 51 million mobile numbers, 40 million digital users and 3.8 million online users.

TRUE estimated the said value using Net Present Value (NPV) method under the assumption that the future of the merged company will profit in 2025, gaining 85% of total value from better services altogether with Up-selling and Cross-selling to the shared customer pool.


TRUE believed the synergy of cost sharing by using a single telecommunication grid will increase the network coverage and reduce 30% of the redundancy.

This would cut its own CAPEX down by half and boost EBITDA growth by 11 percentage point in 2027. The EBITDA percentage point will grow faster than its revenue, compared to this year’s estimates with a single digit growth on EBITDA and THB 25,000 to 30,000 million worth of CAPEX.


Furthermore, TRUE plans to facilitate the Digital Infrastructure Fund (DIF), by securitize more of its telecommunication grid (THB 120,000 million worth), which under 50% from a total of almost 59,000 signal stations.

Meanwhile, local securities firms estimated the big telecom stock price will rise from THB 8.1 to the maximum of THB 11.1 per share, citing the above synergy altogether with the company’s strong growth and profitability.