Thai beer giant readies for $3-billion Singapore IPO

Thai Beer Giant Readies For $3-billion Singapore Ipo

Thailand’s largest brewery Thai Beverage (ThaiBev), owned by the country’s fourth-richest man, billionaire Charoen Sirivadhanabhakdi, is reportedly preparing to list some of its regional beer assets at the Singapore stock exchange in an initial public offering (IPO) that could raise up to $3 billion, Reuters cited sources familiar with the matter.

The Singapore-listed company has commissioned banks including Citigroup, Bank of America, DBS and HSBC to advise in the listing of a holding company for ThaiBev’s beer operations in Vietnam and Thailand. Details have not been finalised yet, but the potential IPO could occur in the mid of next year, the report said.

In Thailand, ThaiBev is best known for its popular beer brand Chang, alongside its Archa and Federbrau brands. It also produces a number of liquors including SangSom, Hong Thong, Mekhong and a variety of blended spirits and cordials. Apart from that, ThaiBev’s portfolio further comprises of non-alcoholic beverages, soft drinks, juices, soda and drinking water, green tea mixtures, milk products and yoghurts, as well as ice cream, chilled and frozen food. ThaiBev is also importer of single malt and blended Scotch whisky brands, and also international rum, vodka and gin brands, as well as Chinese spirits and wines.

In Vietnam, ThaiBev owns a controlling stake of 53.6 per cent in Sabeco, the country’s largest brewer, since December 2017 and has been given the green light by Vietnam’s finance ministry to take over 100 per cent of the company if it wanted. The deal gave ThaiBev a market share of 24 per cent in Southeast Asia’s beer market, where around 11 billion liters are consumed annually.

ThaiBev’s shares were put on a trading halt when the news broke on November 29 pending an announcement after the stock rose 5.2 per cent.

A Singapore IPO of more than $3 billion would rank as the largest since 2010 for the city state, according to Refinitiv data.

Citing unnamed sources, Bloomberg News earlier reported that ThaiBev is said to consider a Singapore IPO of its brewery business that could value its unit at as much as $10 billion.

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Thailand’s largest brewery Thai Beverage (ThaiBev), owned by the country’s fourth-richest man, billionaire Charoen Sirivadhanabhakdi, is reportedly preparing to list some of its regional beer assets at the Singapore stock exchange in an initial public offering (IPO) that could raise up to $3 billion, Reuters cited sources familiar with the matter. The Singapore-listed company has commissioned banks including Citigroup, Bank of America, DBS and HSBC to advise in the listing of a holding company for ThaiBev’s beer operations in Vietnam and Thailand. Details have not been finalised yet, but the potential IPO could occur in the mid of next year,...

Thai Beer Giant Readies For $3-billion Singapore Ipo

Thailand’s largest brewery Thai Beverage (ThaiBev), owned by the country’s fourth-richest man, billionaire Charoen Sirivadhanabhakdi, is reportedly preparing to list some of its regional beer assets at the Singapore stock exchange in an initial public offering (IPO) that could raise up to $3 billion, Reuters cited sources familiar with the matter.

The Singapore-listed company has commissioned banks including Citigroup, Bank of America, DBS and HSBC to advise in the listing of a holding company for ThaiBev’s beer operations in Vietnam and Thailand. Details have not been finalised yet, but the potential IPO could occur in the mid of next year, the report said.

In Thailand, ThaiBev is best known for its popular beer brand Chang, alongside its Archa and Federbrau brands. It also produces a number of liquors including SangSom, Hong Thong, Mekhong and a variety of blended spirits and cordials. Apart from that, ThaiBev’s portfolio further comprises of non-alcoholic beverages, soft drinks, juices, soda and drinking water, green tea mixtures, milk products and yoghurts, as well as ice cream, chilled and frozen food. ThaiBev is also importer of single malt and blended Scotch whisky brands, and also international rum, vodka and gin brands, as well as Chinese spirits and wines.

In Vietnam, ThaiBev owns a controlling stake of 53.6 per cent in Sabeco, the country’s largest brewer, since December 2017 and has been given the green light by Vietnam’s finance ministry to take over 100 per cent of the company if it wanted. The deal gave ThaiBev a market share of 24 per cent in Southeast Asia’s beer market, where around 11 billion liters are consumed annually.

ThaiBev’s shares were put on a trading halt when the news broke on November 29 pending an announcement after the stock rose 5.2 per cent.

A Singapore IPO of more than $3 billion would rank as the largest since 2010 for the city state, according to Refinitiv data.

Citing unnamed sources, Bloomberg News earlier reported that ThaiBev is said to consider a Singapore IPO of its brewery business that could value its unit at as much as $10 billion.

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