DTAC to Launch ‘People’s IPO’

Thailand’s second largest mobile operator controlled by Norway’s Telenor, DTAC, will list on the Stock Exchange of Thailand on June 22 which set to be the largest initial public offering for the year, raising between $225 and $270 million by floating 222 million shares, or 9.4% of the company.
DTAC currently has 13 million subscribers, or 31% of the mobile market and will be the first to go dual-listed on the Thai and Singaporean exchanges.
“We will continue to forge ahead with our planned ‘People’s IPO’ without concerns over the economic and political situation,” said DTAC’s chief executive Sigve Brekke, adding that 65% of the offering would be made to retail investors and the shares would be priced at between 35 to 42 baht each and offered on June 12 and 13.
DTAC executives started a roadshow in Bangkok on June 5 to promote the offering, and will travel to Khon Kaen, Chiang Mai and Phuket later this week. An international roadshow has already ben held in London for some 100 investment funds, and will followed with presentation in Hong Kong and Singapore.
DTAC plans to use the eight to nine billion baht in capital raised from the offering for network expansion, while Ucom will use its proceeds to pay down debt. Retail investors can subscribe to the shares at any of the 1,500 branches of Kasikornbank and Siam Commercial Bank nationwide. Underwriters for the offering are SCB Securities, Kasikorn Securities and JP Morgan.
This year, DTAC plans to expand its customer base upcountry, strengthen its distribution network and boost data revenues to 20% of total earnings compared to the current 9%.
“We believe now is the best time for DTAC to list due to our strong financial health and business performance,” said Brekke.


Leave a Reply

Your email address will not be published. Required fields are marked *