Thailand expects IPO boom this year

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tesco_lotus
Tesco Lotus’ retail property fund was Thailand’s largest IPO so far.

Initial public offerings at the Stock Exchange of Thailand (SET) will reach a record this year with market capitalisation of newly listed companies surpassing 120 billion baht, or $4.1 billion, the bourse said on March 6.

Seven companies have already submitted filings to the Thai stock regulator to launch their IPOs, while another 10 will likely apply for listing in April and May, it said

“The window of opportunity for IPOs is opening up after being shuttered for many years. Last year was the first time in six years the capital market was free from political unrest and other domestic factors, dating back to the period of capital controls,” said Chanitr Charnchainarong, head of issuings and listings and the MAI’s president, was quoted by the Bangkok Post.

Among the companies ready for a listing are PTG Energy, Amata VN, Nok Air, Bangkok Airways, Pace Development, Premier Products, Chularat Hospital, Energy Absolute, CCN Tech, Mono Technology and a number of other medium-sized businesses that want to list at the MAI.

2013 will also see new rules for Real Estate Investment Trusts and Thailand’s first infrastructure fund to list, BTS Growth Infrastructure Fund, of Skytrain operator BTS, which seeks to raise up to $2 billion from the capital market. The IPO was originallyplanend for February but has, however, been delayed.

Several large manufacturing companies were keen to raise funds from the local equities market to fund their business expansion in past years, but market conditions were not favourable until a series of successful fund mobilisations last year by PTT Exploration and Production Plc (PTTEP), Krung Thai Bank and the Tesco Lotus Retail Growth Freehold and Leasehold Property Fund, which was Thailand’s largest IPO so far.

The SET’s market capitalisation has been growing rapidly the past five years as the number of listed companies that are qualified for the investment criteria of foreign institutional investors has surged to 27, on a par with Singapore’s bourse.

To meet the criteria, companies must have at least $1 billion market capitalisation and more than $10 million in daily trading value.

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Reading Time: 2 minutes

Tesco Lotus’ retail property fund was Thailand’s largest IPO so far.

Initial public offerings at the Stock Exchange of Thailand (SET) will reach a record this year with market capitalisation of newly listed companies surpassing 120 billion baht, or $4.1 billion, the bourse said on March 6.

Reading Time: 2 minutes

tesco_lotus
Tesco Lotus’ retail property fund was Thailand’s largest IPO so far.

Initial public offerings at the Stock Exchange of Thailand (SET) will reach a record this year with market capitalisation of newly listed companies surpassing 120 billion baht, or $4.1 billion, the bourse said on March 6.

Seven companies have already submitted filings to the Thai stock regulator to launch their IPOs, while another 10 will likely apply for listing in April and May, it said

“The window of opportunity for IPOs is opening up after being shuttered for many years. Last year was the first time in six years the capital market was free from political unrest and other domestic factors, dating back to the period of capital controls,” said Chanitr Charnchainarong, head of issuings and listings and the MAI’s president, was quoted by the Bangkok Post.

Among the companies ready for a listing are PTG Energy, Amata VN, Nok Air, Bangkok Airways, Pace Development, Premier Products, Chularat Hospital, Energy Absolute, CCN Tech, Mono Technology and a number of other medium-sized businesses that want to list at the MAI.

2013 will also see new rules for Real Estate Investment Trusts and Thailand’s first infrastructure fund to list, BTS Growth Infrastructure Fund, of Skytrain operator BTS, which seeks to raise up to $2 billion from the capital market. The IPO was originallyplanend for February but has, however, been delayed.

Several large manufacturing companies were keen to raise funds from the local equities market to fund their business expansion in past years, but market conditions were not favourable until a series of successful fund mobilisations last year by PTT Exploration and Production Plc (PTTEP), Krung Thai Bank and the Tesco Lotus Retail Growth Freehold and Leasehold Property Fund, which was Thailand’s largest IPO so far.

The SET’s market capitalisation has been growing rapidly the past five years as the number of listed companies that are qualified for the investment criteria of foreign institutional investors has surged to 27, on a par with Singapore’s bourse.

To meet the criteria, companies must have at least $1 billion market capitalisation and more than $10 million in daily trading value.

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