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Telecom shares take a plunge | The Nation

SHARE PRICES of the four major telecom operators declined heavily yesterday on the possible negative impacts of the surprising outcomes of last week’s auction of licences on the 900-megahertz spectrum.

Advanced Info Service (AIS) shares plummeted 19.43 per cent to close at Bt155.50, while those of Total Access Communication (DTAC) slid 26.97 per cent to Bt27.75.

True’s share price fell 8.97 per cent to close at Bt6.60, while Jasmine International nosedived 22.59 to Bt3.70.

After the end of four days of bidding on Saturday, True Move H Universal Communication (TUC) and Jas Mobile Broadband (JASMBB) won licences on the 900MHz spectrum at Bt76.3 billion and Bt75.6 billion respectively, almost five times the minimum starting bid. The other two bidders were AIS and DTAC.

A telecommunications analyst said he expected competition to intensify after this auction. DTAC, which did not win a licence, will face spectrum constraints and could resort to a pricing strategy to defend its market share.

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Telecom shares take a plunge – The Nation.