Business

Published: Wednesday October 21, 2009 MYT 2:10:00 PM

CIMB Thai Bank sells office block for RM100mil


PETALING JAYA: CIMB Thai Bank plc, a 94% subsidiary of the CIMB Group Holdings Bhd, is selling its office block in Sathorn, Bangkok for RM100mil as part of its rationalisation plan to increase efficiency and reduce costs.

The deal was anticipated to be completed by December, CIMB Group said in a filing on Bursa Malaysia.

“Currently we are operating with excess space, as the bank’s office operations in Bangkok are spread between its buildings in Sathorn and Langsuan. By early next year we will all be operating from one site at Langsuan building,” said CIMB Thai president and chief executive officer Subhak Siwaraksa in the statement.

The Sathorn property consists of a 26-storey tower block and a three-storey building with a land area of 2,706 sq metres. The sale is in line with the bank’s policy of remaining asset-light and to use its capital more effectively.

CIMB Thai is a commercial bank with 147 branches in Thailand, offering a wide range of financial products like stockbroking and corporate advisory, mutual funds, wealth management and insurance. As of end June, its total assets and shareholders’ funds stood at THB134bil and THB7.1bil respectively.

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