Foreign media report that the Jungroongruangkit family is planning to sell Thai Summit Group, one of Thailand's largest automotive parts manufacturers, with the deal potentially valued at about 2 billion US dollars or 60 billion baht.
Bloomberg News reported that the Jungroongruangkit family, one of Thailand's wealthiest, is considering selling the Thai Summit Group for up to 60 billion baht. This move is driven by pressures from the global shift toward electric vehicles and challenges in business succession. The report notes that several global investment banks have recently renewed proposals for the sale, suggesting potential buyers including CVC Capital Partners, Warburg Pincus, and Blackstone Inc. Previously, this idea had stalled due to differing opinions within the family.
Sources say the Jungroongruangkit family, who built Thai Summit into a pillar of Thailand’s automotive industry over several decades, faces challenges in appointing a successor following the death of founder Phatthana Jungroongruangkit in 2002.
Earlier in 2024, a Wall Street bank valued Thai Summit's sale at as high as 2.8 billion US dollars. However, negotiations did not progress beyond initial presentations due to conflicting interests among family members.
Meanwhile, growing competition in the electric vehicle (EV) market is pressuring profit margins for traditional automotive parts manufacturers, which may lead to a decrease in the company's current valuation.
Thai Summit generates annual revenue exceeding 2.6 billion US dollars and an EBITDA of over 250 million US dollars. It employs more than 20,000 staff in Thailand, with factories in several countries including China, Japan, and India.
Data from the Federation of Thai Industries indicates that vehicle sales in Thailand in 2025 are expected to reach their highest level in two years, largely driven by electric vehicle sales, which are projected to account for 45% of total deliveries.
Vehicle production in 2026 is forecasted at about 1.5 million units, similar to the previous year, amid the automotive industry's major transition to electric power.
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