Thailand’s Chang beer maker revives Singapore listing plans

Thai Beverage, the company that produces Thailand’s iconic Chang beer and the popular Mekhong rice liquor, among others, has revived plans to list its regional beer business on the Singapore stock exchange.

The move comes more than a year after it postponed the plan for a second time due to uncertainty amid the Covid-19 pandemic.

The company – controlled by Thai billionaire Charoen Sirivadhanabhakdi – in a regulatory filing to the Singapore bourse on May 5 confirmed it would look to sell a 20 per cent stake in its regional beer business through a listing in the city state.

“The board sees significant growth potential in the beer business and believes that the potential can better be developed with a dedicated board of directors and management team focused solely on growing the beer business,” the filing said.

Breweries in Thailand and Vietnam

For the listing, Thai Beverage plans to spin off its brewery division comprising breweries in Thailand and Vietnam and the beer brands Chang, Archa, Federbräu, Tapper, Black Dragon in Thailand and Bia Saigon and 333 in Vietnam into a separate entity called BeerCo Group.

The company says that the spin-off would enable it to fund its own expansion plans and help strengthen parent Thai Beverage financially, allowing the group to better utilise its financial resources to grow its other businesses, which include non-alcoholic beverages, food, restaurants and recycled waste products.

Highly profitable

Pre Covid-19, Thai Beverage was seeking to raise about $2 billion from the planned initial public offering of the brewery business, which would have valued the unit at about $10 billion. The company did not mention any such expectations in the current listing.

Thai Beverage’s beer business generated revenue of $3.03 billion and delivered net profit of $248 million or 29 per cent of the group’s total net profit in the fiscal year ended September 2021, the filing stated.



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Thai Beverage, the company that produces Thailand’s iconic Chang beer and the popular Mekhong rice liquor, among others, has revived plans to list its regional beer business on the Singapore stock exchange. The move comes more than a year after it postponed the plan for a second time due to uncertainty amid the Covid-19 pandemic. The company – controlled by Thai billionaire Charoen Sirivadhanabhakdi – in a regulatory filing to the Singapore bourse on May 5 confirmed it would look to sell a 20 per cent stake in its regional beer business through a listing in the city state. “The...

Thai Beverage, the company that produces Thailand’s iconic Chang beer and the popular Mekhong rice liquor, among others, has revived plans to list its regional beer business on the Singapore stock exchange.

The move comes more than a year after it postponed the plan for a second time due to uncertainty amid the Covid-19 pandemic.

The company – controlled by Thai billionaire Charoen Sirivadhanabhakdi – in a regulatory filing to the Singapore bourse on May 5 confirmed it would look to sell a 20 per cent stake in its regional beer business through a listing in the city state.

“The board sees significant growth potential in the beer business and believes that the potential can better be developed with a dedicated board of directors and management team focused solely on growing the beer business,” the filing said.

Breweries in Thailand and Vietnam

For the listing, Thai Beverage plans to spin off its brewery division comprising breweries in Thailand and Vietnam and the beer brands Chang, Archa, Federbräu, Tapper, Black Dragon in Thailand and Bia Saigon and 333 in Vietnam into a separate entity called BeerCo Group.

The company says that the spin-off would enable it to fund its own expansion plans and help strengthen parent Thai Beverage financially, allowing the group to better utilise its financial resources to grow its other businesses, which include non-alcoholic beverages, food, restaurants and recycled waste products.

Highly profitable

Pre Covid-19, Thai Beverage was seeking to raise about $2 billion from the planned initial public offering of the brewery business, which would have valued the unit at about $10 billion. The company did not mention any such expectations in the current listing.

Thai Beverage’s beer business generated revenue of $3.03 billion and delivered net profit of $248 million or 29 per cent of the group’s total net profit in the fiscal year ended September 2021, the filing stated.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

 

 

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