SP Suzuki Pulling Out of Thailand Motorcycle Distribution

DavidFL

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Jan 16, 2003
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BANGKOK, July 16 (Reuters) - Shares in SP Suzuki SPSU.BK, a Thai distributor of Suzuki motorcycles, surged 50 percent when trade resumed on Friday afternoon after the company clarified its delisting plan and a tender offer for its stock at a premium. At 0840 GMT, SP Suzuki shares were up 50.5 percent at 15.80 baht, while the main Thai index .SETI was 1.1 percent higher.

Major shareholder SP International will launch a tender to buy the shares it does not already own at 16.20 baht, 54 percent higher than the latest close on July 12 at 10.50 baht.

The tender will be made after SP Suzuki sells an 18.78 percent stake in joint venture Thai Suzuki Motor to Japan's Suzuki Moter Corp (7269.T) for 804.8 million baht ($25 million) including a dividend, expected to be completed by the end of October 2010.

Suzuki Motor, which owns 52.06 percent of Thai Suzuki, wanted to buy all the shares in Thai Suzuki because the Japanese firm planned to operate motorcycles retail sales in Thailand by itself, the Thai firm said.

Loss-making SP Suzuki attributed the delisting to its plan to quit the motorcycle business, where competition is intense, the statement said.

SP Suzuki, which also cancelled distribution and dealership agreements with Thai Suzuki, made a net loss of 9 million baht in the first quarter of 2010.

Suzuki has about 4 percent of the motorcycle market in Thailand, while Honda Motor Co (7267.T) has 67 percent and Yamaha Motor Co (7272.T) 27 percent, according to industry data. ($1=32.22

Comment: perhaps this explains why no Suzuki big bikes are yet available through SP Suzuki, which was the Thailand Suzuki distributor for 40 years. Lets hope that it also means Thai Suzuki Motor, that is taking over start bringing in big bikes. :lol-sign:
 

rmbike

Ol'Timer
Jun 28, 2010
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wish i bought some shares last week

hope suzuki get its act together now

and pulls in some market share for the thai market.

their version of the fino, scoopy forgotten what its called, gelato?

looks crap compared with the others.

dropped the raider?

no model to compete with the click, mio as far as i know ?

the hayate is okay
 

Ian Bungy

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Sep 19, 2006
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So the Japanese will Run Suzuki Thailand by Themselves after Thai Management Failed? Good for them and if they aim to have complete Control by end of October could be a Safe Bet that the 2011International Motorshow in Feb/March would be the Place to Launch the New Company and New Models??? Lets Hope So! Bring it on Suzuki!!!
 

Franz

Ol'Timer
Jun 28, 2007
1,660
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David & Ian, just dreaming, V-Strom 650, RMX450Z,..........hahahaha. But if it's really the japanese to do it then good things will come to those who wait :thumbup: , I hope only that they don't listen too much to the sales-bla-bla people: choppppppeeeeeeeaaaaaaaaarrrrr......... :thumbdown: regards, Franz
 

KZ

Ol'Timer
Aug 20, 2003
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What about Honda? Do they have a Thai distributor in Thailand or do the Japanese manage things themselves?
What is their unbelievable success? Having almost 70% of the market must come from somewhere?
In the European and American markets the % are more evenly divided; hard to believe that Suzuki and Kawasaki together have only 6% here!
Can't expext too much if the share is ridiculously low...

I'd be happy if they'd bring in the DR200 for a decent price!