National Telecom (NT) has emerged as a bidder in the auction of four satellite orbital slot packages slated for Aug 28 as it bought a bid envelope in the final hour before the one-month extension concluded Friday afternoon.
Representatives from NT showed up at the National Broadcasting and Telecommunications Commission (NBTC) to buy a bid envelope at around 4pm, briefly before the deadline of 4.30pm.
The auction marks the transition of the country's satellite business from a concession model to a licensing regime.
On July 7, the NBTC board decided to postpone the auction to Aug 28 from July 24 after TC Space Connect, wholly owned by SET-listed satellite service provider Thaicom, was the only company prepared to bid.
The NBTC allowed interested parties an extra month to buy a bid envelope, from July 8 to Aug 6.
The move comes as a surprise as Digital Economy and Society (DES) Minister Chaiwut Thanakamanusorn earlier told the Bangkok Post NT was not keen on investing in the satellite business because it is focusing on 5G business on the 700-megahertz range.
He also indicated NT was not ready for the satellite orbital slot auction and the company's board had not made a decision about participation in the bidding.
A source in the telecom industry who requested anonymity said the participation of NT in the auction is an intriguing development.
The move by NT follows Gulf Energy Development Plc acquiring a 23.32% stake in InTouch Holdings through a tender offer that ended on Aug 4, making it the biggest shareholder with a 42.25% stake in InTouch, which is the largest shareholder of Thaicom.
Singtel Global Investment from Singapore has a 21% stake, the second largest shareholding in InTouch.
The source said this shareholding change in InTouch would have an impact on Thaicom.
"Now there is a strong reason to move ahead with the auction," the source said. "NT's participation means the auction will not have to be postponed again."
According to another telecom veteran who requested anonymity, the government views the satellite business as a matter of national security and vigorous efforts to buy a stake in InTouch, whose biggest shareholder was a foreign entity, could explain this.
Gulf's biggest shareholder Sarath Ratanavadi, the veteran said, is known to have good connections with influential figures in the government.
Mr Sarath studied engineering at Chulalongkorn University where Deputy Prime Minister Supattanapong Punmeechaow was his senior. Mr Chaiwut, a junior faculty member, also once served as an executive at Gulf.
There are four satellite orbital slot packages up for auction.
The first consists of 50.5°East and 51°E slots with a reserve price of 677 million baht; the second is 78.5°E with a reserve price of 366.4 million; the third involves 119.5°E and 120°E with a reserve price of 393 million; and the last is for 126°E and 142°E with a reserve price of 364.6 million.
NT is required to submit its bid request and place a bank guarantee by Aug 11.
The list of qualified bidders based on experience and financial capability checks is scheduled for announcement on Aug 24, while an information session and a mock auction are slated for Aug 25.
