After a long gap of five years, when the trading of Thai Airways International shares started again, it saw a faster of 231 percent as soon as the market opened. Investors expressed strong confidence in this government airline and broke down to buy shares. In the initial trading, its price reached 11 weights (about ₹ 29.48). However, after some time it declined slightly and it was trading at 9.32 weights (about ₹ 24.98) till 11 am Indian time, which still shows an increase of about 180 percent.
The company had once reached the verge of bankruptcy
This airline, owned by the Thailand government, was caught in a serious economic crisis during the Korona epidemic. The company’s revenue came to a standstill due to travel sanctions and ban on flights. The situation became so bad that the company had to start the process of protecting itself under the ‘Bankruptcy Protected Restriction’.
In March 2021, the Stock Exchange of Thailand announced that Thai Airways could be delivered due to ‘negative shareholders equity’. Actually, it was clear in the company’s annual financial description of the company that its net welth has become negative. After this, trading of the company’s shares was stopped on 18 May 2021. At that time the last closed price of the stock was 3.32 weights (about ₹ 8.90).
Share reached three times above old price
Today, as soon as Thai Airways trading started in the stock market, investors’ response was very encouraging. On the very first day, its stock increased more than 3 times, which also surprised market analysts. This boom is an indication that there is still confidence in the company and investors are hopeful about its future.
However, it is not clear how durable this fast will be. But it is certain that this stock, which has been closed for a long time, has once again become the center of market discussion.
Disclaimer: This article is only for information and should not be considered as an investment advice in any way. TV9 India suggests its readers and spectators to consult their financial advisors before taking any decision related to money.