BANGKOK, Sept 20 (Reuters) - Shares in Thai auto light maker Thai Stanley Electric Plc hit a three-month high on Friday, after Toyota Motor Co announced that it would move its global pick-up truck production to Thailand.
Stanley shares were up 3.9 percent at 92.50 baht by 0452 GMT, after touching a high of 93.50 baht -- their highest level since June 3. The overall index was down 0.95 percent.
They were among the market's top five percentage gainers on Friday morning.
Arpaporn Sawaengpak, an analyst at DBS Vickers Securities in Thailand, said supplies of auto lamps and bulbs to Toyota plants in Thailand now accounted for around eight percent of Stanley's production, but this would rise to 20 percent.
"I think the deal is very bullish for the company," she said. DBS Vickers has a one-year price target of 126 baht for the company.
Toyota said on Thursday that the $698 million deal would more than double its Thai production capacity of pick-ups and multi-purpose vehicles to around 200,000 a year by mid-2004, half of this destined for export.
Stanley shares have gained 98 percent so far this year, fuelled by a revival in Thailand's auto industry following years in the doldrums after the 1997 economic crisis.
Over the first eight months of this year, Thai domestic car sales have risen by 34.9 percent compared with last year. In August automobile sales rose 51.2 percent year-on-year.
Thai Stanley also supplies auto lamps and bulbs to Thai production plants belonging to General Motors , Isuzu Motors Ltd and Mitsubishi Motors Corp THAI STANLEY ELE LAST 92.50 PCT ON DAY 3.93 VOLUME 1194.00 PE 10.08 YIELD% 3.26 VWAP 383125000.00 YR HIGH 97.00 YR LOW 39.00