DTAC Domestic Share Raises USD278 Million

Thailand’s second largest mobile operator which is controlled by the Norwegian Telenor, DTAC, saw its listing on the local stock exhange on Friday three-times oversubscribed. The IPO price raised THB8.89 billion (USD278 million), with the final share allocation split approximately 50% retail investors and 50% institutional investors, lower than the planned 65%/35% retail/institutional split.
Of the shares offered, 82 million were new and the remaining 140 million sold by shareholder vehicle Ucom. DTAC plans to use the capital raised from the offering for network expansion, while Ucom will use its proceeds to pay down debt.
DTAC is the first company to be dual-listed on the Thai and Singaporean exchanges. According to TeleGeography’s GlobalComms database, the operator had 13.33 million mobile subscribers, or around 30% of the market, at the end of March 2007. It posted 2006 net profits of THB4.938 billion on revenues of THB42.962 billion, and has announced plans to pay a dividend in 2007 for the first time in a decade.

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