May 22 (Bloomberg) -- BEC World Pcl, Thailand’s biggest publicly traded television broadcaster, dropped by the most in more than seven months in Bangkok trading after major shareholders sold stock at below market price.
The shares slid 6.7 percent to close at 66.5 baht, the steepest decline since Oct. 1. The stock was the third-biggest decliner in the MSCI Emerging Markets Index, which was little changed.
Major shareholders sold 80 million shares, Chief Financial Officer Chatchai Thiamtong said by phone today, without specifying the price. Those shares, which are about 5% of total outstanding stock, were crossed at 66 baht in block trade today, according to data on block trades compiled by Bloomberg. That’s 7.3 percent less than yesterday’s closing price. A further 2.87 million shares were crossed at 67 baht, the data show.
“The share sale at a large discount weakened investor sentiment on BEC World,” Jitra Amornthum, head of research at Finansia Syrus Securities Pcl in Bangkok, said by phone today. “The company’s valuations are also too high, given intensifying competition in the television advertising industry.”
BEC World’s shares are trading at 22.3 times projected 12-month earnings, compared with the SET Index’s 14.4 times, according to data compiled by Bloomberg. The stock has dropped 6.3 percent this year, compared with the benchmark gauge’s 17 percent increase.
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