Amata, Sinotech to build industrial city in Thailand with more investors
BANGKOK, NNA - Thailand’s industrial park developer Amata Corporation Public Co. has entered into a joint venture with Sinotech Engineering Consultants Ltd. to develop a newly designated smart industrial estate in the eastern province of Chonburi.
The move is to attract Taiwanese companies in the information technology industry to Thailand, an Amata spokesman told NNA.
Amata holds the majority 80.01 percent stake in Amata Sino Development Co., while Taiwan’s Sinotech, a construction engineering company, takes up 19.99 percent.
The partners aim to rope in Taiwanese investors such as government-backed enterprises and carry out more feasibility studies before starting construction for the new city, which will have mixed-use developments, said the spokesman.
Meanwhile, the registered capital of 75 million baht ($2.4 million) has been divided into 750,000 shares, valued at 100 baht each, according to Amata’s filing to the Stock Exchange of Thailand on July 24.
Amata Sino will build and operate the Amata Taipei Smart City project on a 864,00-square-meter land in Chonburi, where the Thai company is already operating the sprawling Amata City Chonburi.
The joint venture is the result of a memorandum of understanding signed by the partners in 2019.
Amata currently operates several industrial cities in Thailand’s Eastern Economic Corridor (EEC), which covers Chonburi, Rayong and Chachoengsao provinces off the coast of the Gulf of Thailand.
The provinces have been developed collectively as a huge hub for technological manufacturing and services with strong connectivity to its ASEAN neighbors by land, sea and air. The infrastructure for EEC is expected to be fully completed by 2021.
Amata City Chonburi, a industrial city, spans 43.3 sq. kilometers. It has a power plant, natural gas supply facility, rental factories, and comprehensive facilities including a mall.
It supports many Japanese companies in Chonburi, which has the highest concentration of Japanese enterprises within a comparative area outside Japan.
About 60 km away from capital Bangkok, the area continues to attract Japanese investments, including those supporting property and business tourism. The Okura hotel group will open Hotel Nikko Amata City next year.
In Thailand, Amata's industrial estates cover a total of 80 square km, according to Amata’s quarterly report. The company has built industrial zones in Japan, South Korea and Vietnam. The company also signed an agreement with South Korea to develop a Korean Smart City Zone in Chonburi. It is developing Yangon Amata Smart City & Eco City in Myanmar.
In the first quarter of 2020, the company made revenues of 1.25 billion baht, a 15.4 percent increase over the same period last year. The main contribution came from utility and services.