SF's ratings are currently based on its standalone credit profile, because no single corporate entity exerts control over the company. However, should Central Pattana Public Company Limited (CPN) manage to acquire a controlling stake in SF, Fitch will reassess SF's rating based on the legal, operational and strategic ties between SF and CPN using our Parent and Subsidiary Linkage Rating Criteria.
CPN said on 5 July 2021 that it has agreed to purchase 30.36% of SF from its largest shareholder Major Cineplex Group Public Company Limited (Major). This transaction is subject to the approval of Major's shareholders. CPN expects the share purchase to be completed by the end of August 2021, and then it has to proceed with a mandatory tender offer for the remaining shares of SF, according to the rules of Thailand's Securities and Exchange Commission.
CPN is the largest retail property investment company in Thailand with market share of about 20% in term of gross floor area. Besides the development of shopping centres, CPN is involved in other complementary mixed-use development projects, including office buildings, hotels, and residences, to support its shopping centres. In 2020, CPN had total revenue of THB27.9 billion and EBITDA of THB12.1 billion.
Source: Fitch Ratings