On June 25, 2026, shares of True Corporation Public Company Limited (SET: TRUE) saw a sharp decline during afternoon trading following unconfirmed reports that a major partner might divest its holdings.
TRUE’s stock price dropped as much as 9% in the afternoon session before paring some loss to now -5.22% for the day.
Market rumors circulating since the morning suggest that China Mobile International Holdings Limited, a key strategic partner, is considering selling its entire stake in TRUE. The holding consists of 2,698,330,341 shares, representing 7.81% of the total voting rights. The reports indicated that the deal would be executed via a “Big Lot” transaction at a discount to the current market price.
Currently, there is no official confirmation or documentation from relevant agencies to verify these rumors. Industry sources from various brokerage firms noted that while the rumor has spread through social media and trading rooms, it remains unverified and may be an overreaction by investors, creating negative market sentiment.
China Mobile initially became a major shareholder in TRUE in June 2014 through a Private Placement of shares at THB 6.45 per share, which at the time accounted for approximately 18% of the company. The shareholding structure was later reorganized following the merger between True and DTAC and strategic adjustments by the CP Group and Telenor.
Despite the price volatility, some analysts maintain a positive outlook on TRUE’s fundamentals. Krungsri Securities (KSS) continues to view TRUE as an attractive growth and dividend stock. They project a 40% profit growth and a dividend yield of 4% for 2026, with the stock trading at a P/E ratio of 17 times.
Sigve Brekke, TRUE’s CEO, previously indicated that TRUE intends to follow a “Progressive Dividend” policy, increasing payouts annually starting from 2026. The company later announced a change in dividend payout policy, shifting to a quarterly basis payment at an amount no less than 50% of its net profit.
The sharp decline in share price, while driven by rumors, has not changed the company’s fundamental profit-making policies. This price drop has effectively increased the potential dividend yield, which may attract institutional investors looking to accumulate the stock at a lower entry point.
Additionally, Krungthai XSpring Securities (KTX) believes it is unlikely that the CP Group will sell more shares in the immediate term, given they have already divested approximately 7.4% out of a target not exceeding 10%. While they view a move from China Mobile as a more “possible” scenario, it still lacks official confirmation.
From a valuation standpoint, KTX notes that the sharp price drop has pushed TRUE’s EV/EBITDA down to just 7.25x (its mean level), falling from a previous level of +1SD. They consider this valuation very low when compared to the company’s 2026 growth outlook and the valuation of its peer, ADVANC, which currently trades at 9.8x (+1.75SD).
