The Transformation of ROBINS to CRC
What have ROBINS been through in the past four decades and what will become of it when it changes to CRC?
What have ROBINS been through in the past four decades and what will become of it when it changes to CRC?
8 ส.ค. 2562

Robinson Public Company Limited (ROBINS) is changing shareholder’s structure again as Central Retail Corporation Public Company (CRC), has made a tender offer to acquire ROBINS at ฿66.50/share by paying in stock form instead of cash payment.
The apparent aim of this movement is to delist ROBINS and then submit CRC by filing for an Initial public offering (IPO) to list on the stock exchange instead.
 
The bright side of this transaction for ROBINS’s shareholders is that they do not need to competitively subscribe CRC’s IPO while having an opportunity to receive profit from the increase of CRC’s share price when it debuts in the exchange. Most importantly, CRC has an opportunity to be included in SET 50 and MSCI Indexes because of its large market capitalization.
However, the risks are ROBINS shareholders have to hold stocks until early 2020 before getting CRC’s shares. If the IPO prices are high, the shareholders will get a smaller proportion based on the swap rate.
 
Before looking to the future, looking back to how ROBINS has struggled in the past four decades.
Since the establishment in 1979, Robinson opened the first department store at the Victory Monument. Then in 1992, Robinson came to be the first department store to list in Thailand’s  stock exchange. Central Retail Corporation Company Limited acquired the majority of Robinson’s stocks in 1995 and expanded new branches to 20.
The turning point of ROBINS occurred in 1997 when the company was affected by “Tomyumkung Crisis,” which finally the company had to make a default. In 2000, Central Bankruptcy Court ordered ROBINS to make rehabilitation, resulting in closing department stores to be left at 18 branches totally. The company, at the same time,  issued THB 4,766 debentures to creditors which had got no collateral.
ROBINS increased capital to THB 14,808 million, from THB 1,480 million and made the securitization along with debt payment until succeeding as planned. Central Bankruptcy Court removed the rehabilitation order in 2017 and ROBINS paid dividends again.
 
Thus, the tender offer of ROBINS marks the end of Its legend and creates the new legend of CRC, which will give significant value for existing shareholders. However, it will depend on the share proportions which they will get.