Some of Thailand’s richest families are preparing to compete for the Southeast Asian operations of French supermarket operator Casino Guichard-Perrachon SA, according to people with knowledge of the matter.
Billionaire Charoen Sirivadhanabhakdi’s TCC Holding Co. and the Chirathivat family’s Central Group are weighing first-round bids for the Big C Supercenter chains in Thailand and Vietnam, which are due Feb. 5, the people said. The companies have been speaking with banks about advisory roles and financing options, according to the people, who asked not to be named as the process is private.
The prospect of a competitive auction for the assets spurred Casino shares Friday, lifting the stock as much as 7.5 percent in Paris. Casino’s controlling stake in Bangkok-listed unit Big C Supercenter Pcl could fetch more than $3 billion, while a sale of its Vietnam business could raise as much as $800 million, the people said. The Vietnamese operations have also drawn interest from Tokyo-based retailer Aeon Co., two of the people said.
A deal would add to the $54.9 billion of acquisitions in Southeast Asia over the past 12 months, data compiled by Bloomberg show. The proposed disposals are part of Casino’s plan to cut debt by more than 4 billion euros ($4.3 billion) this year, after its share price slumped 45 percent in 2015. Attacks on the grocer’s accounting by short-seller Carson Block’s Muddy Waters LLC have accelerated that drop in the past month.
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Casino may sell its businesses in the two countries together or separately, depending on the offers it receives, the people said. The French company owns 58.6 percent of Bangkok-listed Big C Supercenter.