ThaiBev confirms plan to float massive beer arm in Singapore

Thai Beverage (THBEV) Friday confirmed its plans to spin off its brewery unit as a separate listing on the Singapore stock exchange, in potentially the largest initial public offering that bourse has seen in 10 years.

Shares in parent company THBEV rose 4.4 per cent in early trading on the news, the biggest intraday surge since November, before ending the morning session at 0.83 Singapore dollars, up 3.33 per cent, as of 12.04 pm.

The company said it had received a no-objection letter from Singapore Exchange Securities Trading regarding its plan to sell about 20 per cent of shares in the newly formed BeerCo Ltd, which now operates all its beer products including Chang, Archa, and Federbräu in Thailand.

The float could raise around USD 2 billion or around 60 billion baht, according to a Bloomberg report. ThaiBev is the second-largest beer producer in Thailand and the largest in Vietnam.

According to Bloomberg, ThaiBev had initially planned to spin off its brewery unit last year but had to put on hold after the coronavirus pandemic hit its business, with bars and restaurants closing and alcohol sales banned.

The BeerCo business arm gained revenues of around USD 3.5 billion or around 105 billion baht for the fiscal year ending 30 September, with profits after taxes of about USD 260 million or 7.83 billion baht.

However, ThaiBev said in the statement that “there is no certainty or assurance that the proposed spin-off listing will materialize in due course.”

Shareholders and potential investors are advised to exercise caution at all times and seek appropriate professional advice, warned the company’s secretary Nantika Ninvoraskul.


Daily Covid-19 number falls to 72

Thailand found 72 new coronavirus cases in the past 24 hours, officials said Thursday. The daily number has been...

Latest article

Manufacturing dips as pandemic persists, but beats forecast

Thailand’s manufacturing production index (MPI) in January dipped by 2.8 per cent year-on-year as the Covid-19 outbreak impacted domestic activity, the Office of Industrial...

Daily Covid-19 number falls to 72

Thailand found 72 new coronavirus cases in the past 24 hours, officials said Thursday. The daily number has been below 100 for a week,...

TISCO jumps more than 6 per cent on dividend news

Shares of TISCO Financial Group (TISCO) gained 6.09 per cent to 95.75 baht, with a transaction value of 1.16 billion baht, after it announced...

The Siamese Satirist: The Wuhan Virus probably started in Denmark

Having investigated the origins of the Covid-19, scientists from across Asia are now saying that the pandemic probably originated from the European Country of...

Poetry: Ozymandias

In a faraway, makeshift land- a ruler sits on a throne of teak.A throne, ancient by his own command, - carved out by scholars,...

Danish virologist defends media comments that Chatuchak could be birthplace of Covid-19

Danish virologist Thea Fischer has defended comments that she made to a Danish media outlet that the Covid-19 virus could have originated in Chatuchak...