Shares of Gulf Development Public Company Limited (GULF) rose 2.02% to 63 baht, even as the cabinet approved the Ministry of Digital Economy and Society to take legal action against GULF and Thaicom Public Company Limited (THCOM) over a dispute concerning domestic satellite concession contracts, which could result in combined fines of 1,250 million baht. Brokers view this as a short-term impact while fundamentals remain strong, with a buy recommendation. Asia Plus Securities stated that this is negative sentiment that may pressure the stock price in the short term, as GULF holds a 41.5% stake in THCOM and consolidates its results, but there is no court ruling confirming wrongdoing. The firm maintains a buy rating with a fair value of 80 baht by end of 2027, viewing any pullback as an opportunity for long-term accumulation.
Gulf Energy Development Public Company LimitedCabinet approved legal action against GULF over satellite concession dispute, potential fines and negative sentiment.
Thaicom Public Company LimitedThaicom faces legal action and potential fines in satellite concession dispute.
