On May 16, reporters reported that Mr. Witthawat Vetchubutsakorn, Director and Chief Financial Officer of RS Public Company Limited, submitted a letter to the Stock Exchange of Thailand (SET) regarding a loan default by the company and its subsidiaries.
The letter stated that RS Public Company Limited was unable to meet the conditions of loan agreements with financial institutions, resulting in interest payment defaults totaling 27.48 million baht. Consequently, the financial institutions are entitled to demand repayment of the loans.
The company has short-term and long-term loans amounting to 940.20 million baht and 831.32 million baht, respectively. For its subsidiaries, the short-term and long-term loan amounts are 225.23 million baht and 878.57 million baht, respectively. The default may trigger a CB (Credit Bureau) flag.
Currently, the company and its subsidiaries are in urgent negotiations with the financial institutions to restructure the debt and resolve the issue.
The news of the loan default has affected RS's stock price, which dropped significantly. The lowest price of the day was 0.39 baht per share, with a high of 0.46 baht, down from the previous closing price of 0.49 baht—a decrease of 12.24%.