BANGKOK Nov 5 Shares in Thanachart Capital Pcl
rose more than 5 percent to a three-week high on
Monday after its Thanachart Bank unit announced it was selling
its insurance unit to Prudential Pcl
Thanachart Bank, Thailand's fifth-largest lender, is owned
51 percent by Thanachart Capital and 49 percent by Bank of Nova
At 0305 GMT, Thanachart Capital shares were up 4 percent at
39 baht after hitting 39.75 baht, the highest since Oct 12. The
broad index was 0.13 percent lower.
Prudential has agreed to buy the insurance unit of
Thanachart Bank for 368 million pounds ($590 million) in cash,
helping the British insurer double its market share in the
rapidly growing Southeast Asian market.
Thanachart Bank Chief Financial Officer Anuwat Luengtaweekul
told Reuters the gains from the insurance divestment will help
boost the bank's capital by 2 percent, which will ease market
concerns about its need to raise capital.