Basic Energy Corporation (PSE:BSC) signed an investment term sheet to acquire 12.5% stake in Vintage EPC Company Limited and Vintage International Construction Co. Ltd. from Vintage Engineering Public Company Limited (SET:VTE) for approximately THB 100 million on November 9, 2017. Basic Energy Corporation signed a share purchase agreement to acquire 15% stake in Vintage EPC Company Limited and Vintage International Construction Co. Ltd. from Vintage Engineering Public Company Limited on June 27, 2018. The parties also entered into shareholders agreements on June 27, 2018. As per the terms, Basic Energy shall acquire 7.5 million shares in Vintage EPC Company at THB 10.43 per share for an amount of THB 78.23 million. Basic Energy shall acquire 0.02 million existing shares and shall be issued 2.51 million new shares in Vintage International Construction at THB 10 per share for an aggregate amount of THB 25.22 million. Under the term sheet, Basic Energy Corporation will make a refundable deposit of $2.73 million (THB 89.77 million) to begin the due diligence.

Vintage EPC Company Limited reported revenue of THB 646.73 million, net profit of THB 67.56 million, total assets of THB 804.87 million and net assets of THB 567.56 million as of December 31, 2016. Vintage International Construction Co. Ltd reported revenue of THB 213.91 million, net profit of THB 10.27 million, total assets of THB 447.69 million and net assets of THB 11.27 million as of December 31, 2016.

Basic Energy Corporation should complete the due diligence in 60 days but may ask for an extension subject to Vintage Engineering Public Company Limited consent. The formal agreement will be signed upon the favorable results of due diligence. As of October 26, 2017, Board of Directors of Basic Energy Corporation granted Basic Energy Corporation the exclusive right to negotiate and finalize the terms. The transaction is subject to certain conditions including due diligence of Vintage EPC Company Limited and Vintage International Construction, approvals of the board of directors of target companies and Basic Energy Corporation. As of December 29, 2017, the amount of refundable deposit was changed to $2.62 million (THB 86.29 million). As of June 29, 2018, the board of directors of Basic Energy Corporation approved the transaction on March 21, 2018. The transaction is expected to close on July 2, 2018. BPR Audit and Advisory Group Limited acted as accountants for Basic Energy.

Basic Energy Corporation completed the acquisition of 15% stake in Vintage EPC Company Limited and Vintage International Construction Co. Ltd. from Meta Corporation Public Company Limited (SET:META) on July 2, 2018. After the transaction, Soraj Rojanabenjakul, Arunya No-in, Supasit Pokinjaruras, Sasidhorn Louwitawas and Oscar Junior Locsin De Venecia will be the members of the Board of Vintage EPC and Vintage International. Sirut Ratanapaitoon and Chanchai Tanucharoensup will no longer be part of the Board.