Berli Jucker PCL (BJC. TH) has become the front runner to buy the Thai asset in Carrefour SA, as PTT PCL PTT. TH) was forced to withdraw due to the government pressure. In PTT PCL ( PTT. TH), the Thai Govt's share is 51.36% making it vulnerable to govt. pressure.

On Tuesday, the govt. said, the board members were not consulted before making the bid. They further clarified that without any justification, the state enterprises cannot compete with the private sector, according to the constitution of the country. PTT will have to provide an explanation for its participation in the bidding, they added. The govt. further added that PTT rather than expanding in other businesses should focus on its core energy business.

Since 1996, Carrefour has been in Thailand, operating 43 stores nationwide. Carrefour is known as No. 2 retailer, after US based Wal-Mart Stores Inc. (WMT).

the sale of assets in Singapore, Thailand and Malaysia, Carrefour hopes to raise $1 billion, as per the report. Adding Carrefour to its portfolio would have provided synergies with non-oil businesses, although there would have little difference in revenue as per the President Prasert Bunsumpun earlier this month.