Partners push co-working

SET-listed Ticon Industrial Connection Plc has entered a joint venture agreement with JustCo Thailand 2 Pte Ltd to enter the co-working office and space market in Thailand.

Ticon yesterday submitted a letter to the Stock Exchange of Thailand saying the company had established the new joint venture, JustCo Thailand Co, on July 6.

JustCo Thailand has registered capital of 1 million baht, consisting of 10,000 ordinary shares with a par value of 100 baht each.

Ticon, a developer of ready-made factories and warehouses for rent, holds a 51% stake. JustCo Thailand 2, a Singaporean firm and joint company of JustGroup, owns the rest.

Lalitphant Phiriyaphant, Ticon’s company secretary, said in a note that the objectives for JustCo Thailand are to invest and engage in the co-working office and space sector, along with other complementary businesses in Thailand.

The co-working office and space business, also known as shared workspace, entails providing working areas for startups, medium-size firms and multinational companies that require flexibility in terms of space, cost and duration of stay.

Customers can also choose to lease office space on a daily to yearly basis, while the co-working space will be fully equipped to serve customers, Ms Lalitphant said.

JustGroup is a provider of co-working offices and space under the JustCo brand.

Ticon’s indirect major shareholder, Frasers Property Ltd, intends to jointly invest in JustGroup abroad as Frasers Property, seeing co-working office and space opportunities in Asia.

Ms Lalitphant said Ticon is looking for other investment opportunities in new types of leasing businesses.

She said the co-working office and space business should be able to grow rapidly in Thailand, but Ticon lacks expertise in the segment.

Ms Lalitphant said JustGroup does have the experience, expertise and reputation to help Ticon develop the co-working office and space business in Thailand, complementing the company’s growth strategy.