Thai Beverage (ThaiBev) is planning to list its brewery unit on the Singapore Exchange (SGX) as soon as next week or as soon as 2Q2021, according to people familiar with the matter.
The beverage company plans to seek a valuation of some US$10 billion ($13.3 billion) for the unit.
According to Reuters on Jan 14, the IPO was likely to fetch the company some US$2 billion.
This could be the bourse’s biggest initial public offering (IPO) in Singapore in a decade since Hutchinson Port Holdings Trust raised US$5.5 billion in 2011.
The IPO would also boost first-time share sales in the republic where IPO volumes plunged to $915 million in 2020, the least since 2015, according to data compiled by Bloomberg.
ThaiBev, which is controlled by Thailand’s richest man, Charoen Sirivadhanabhakdi, confirmed the news that the company was mulling an IPO in 2019.
No details were provided at the time.
SEE: Thai Beverage reports 61% fall in 3Q earnings to $248 mil on weak spirits sales and absence of fair value gains
A representative for ThaiBev didn’t immediately respond to requests for comment.
Shares in ThaiBev closed 2 cents higher or 2.5% up at 82 cents on Jan 28.
Update
ThaiBev, on Jan 28, issued a statement to clarify on the potential IPO of its beer business.
It says it has been exploring ways to optimise its asset portfolio and enhance value for its shareholders including the aforementioned potential listing.
"To this end, ThaiBev continues to evaluate and is working towards a possible listing of its beer business with its appointed advisors on the Singapore Exchange (SGX). There is no assurance that any listing will finally occur, and details relating to the potential listing, including the timing of any filings or valuation, remain subject to finalisation," says the company.
