PLANB shares rose 7.09%, or 0.45 baht, to 6.80 baht at 10:00 a.m., with trading value of 85.26 million baht, after Krungsri Securities reported that Plan B Media, or PLANB, has acquired 1,126 million newly issued iCare shares worth 860 million baht at 0.764 baht per share, representing a 46.28% stake after the capital increase. COM7 will also hold a 46.28% stake, aiming to generate long-term returns from the mobile phone and electronic device insurance business through both operating results and dividends, as well as to extend synergies by leveraging PLANB's advertising media strengths to expand the customer base and sales channels. The share purchase requires approval from the shareholder meetings of COM7 and iCare and from the Office of the Insurance Commission, or OIC, with the process expected to be completed by the end of 2026. Krungsri Securities views the investment positively, estimating it will recognize profit of about 200 million baht per year, representing upside of roughly 13% to 2027 earnings. Even with 100% debt financing at an interest rate of 3.87%, based on the COM7 deal, the cost would be only 33 million baht per year, leaving incremental profit of about 170 million baht per year, or upside of roughly 11%. The purchase price implies a P/E of only 6x, below the insurance sector's 9x, and if full debt financing is used, the interest-bearing D/E ratio would be about 0.76x, still reflecting a strong financial position. Krungsri Securities maintained its "Buy" rating on PLANB with a target price of 8.10 baht and expects net profit in 2026-2027 to grow 14% YoY and 25% YoY, driven by recognition of its share of profit from COM7 and not yet including the iCare deal.
Plan B Media PCLPLANB acquires 46.28% of iCare for 860 million baht; Krungsri maintains Buy with 8.10 baht target on expected profit upside
Com7 PCLCOM7 will hold a 46.28% stake in iCare, aiming for long-term returns and synergies with PLANB
Bank of Ayudhya PCL