CP Land to develop Office Buildings, Home Offices and rental spaces on a 20 Rai site in Khon Kaen and looking for partners with expertise in design, development and construction.
CP has 5,000 Rai nationwide. Established 20 years ago CP Land employs 1,000 people has registered capital of two billion baht to avoid financing mistakes in the past it aims to increase by raising funds in the SET by 2009.
CP Land faced financial problems at the time of the 1997 economic crises when its debt doubled to 10 Billion Baht as it had borrowed a lot of dollars at 25 Baht to 1 Dollar. Since then paid off the whole debt in 2005 all assets are now debt free. Future economic expansion by companies will be financed through the SET and not by foreign currency based loans as in the past IMHO.
Market segmentation strategy 500 million baht Fixed Income earnings from rental properties located close to mass transit. Most residential projects are in the middle priced household income 30,000 baht per month.
A very good example of Thai company strategy successfully recover from 1997 melt down.
Khon Kaen CP to develop 20 Rai
More Balance Sheet information.
Central this week is celebrating the 60th anniversary of a business that has grown from a family shophouse to a multi-faceted retail empire. In that time it has confronted its share of challenges though executives say the 1997 financial crisis was the worst.
''We had about 20 billion in debt from the crisis as we had relied on overseas loans. We felt desperate but we fought back and changed the crisis to an opportunity with a recovery in two years,'' Mr Tos said.
Now, Central has a stronger operation than in the past, particularly in terms of its cash management and balance sheet.
Mr Tos had his concerns though.
''The situation is worse than the 1997 financial crisis. If the situation continues, the country's growth will pause for ten years and allow competitors including Vietnam to catch up,'' he said.
Central this week is celebrating the 60th anniversary of a business that has grown from a family shophouse to a multi-faceted retail empire. In that time it has confronted its share of challenges though executives say the 1997 financial crisis was the worst.
''We had about 20 billion in debt from the crisis as we had relied on overseas loans. We felt desperate but we fought back and changed the crisis to an opportunity with a recovery in two years,'' Mr Tos said.
Now, Central has a stronger operation than in the past, particularly in terms of its cash management and balance sheet.
Mr Tos had his concerns though.
''The situation is worse than the 1997 financial crisis. If the situation continues, the country's growth will pause for ten years and allow competitors including Vietnam to catch up,'' he said.