Thai operator True Corp has reportedly raised Bt58.08bn (US$1.79bn) from the listing of its infrastructure fund.
The transaction was oversubscribed and details are being finalised, people familiar with the matter told Reuters.
True Corp had previously…
Thai operator True Corp has reportedly raised Bt58.08bn (US$1.79bn) from the listing of its infrastructure fund.
The transaction was oversubscribed and details are being finalised, people familiar with the matter told Reuters.
True Corp had previously said it was looking to raise US$1.48bn from the sale of 4.76 billion shares in True Telecommunications Growth Infrastructure Trust (Truegif). The report indicates that the company eventually sold 5.8 billion shares at Bt10 (US$0.31) each.
Late last week, the telco extended to 19 December the time period for investors to buy shares in Truegif.
In a statement at the time, the group’s CFO Noppadol Dej-Udom said the subscription period clashed with a number of public holidays and had been affected by the heated political situation in the country. However, he remained positive about the outcome of the listing.
The fund, in which True was planning to retain an 18% stake, comprises various infrastructure assets such as towers and its core fibre optic grid. The operator will then lease back the assets.
Trading on Thailand’s stock exchange will start on 27 December. The fund is forecast to offer an 8.8% dividend yield for 2014.
Proceeds from the flotation should repay part of True’s debt load, which stood at Bt108bn (US$3.36bn) as of September. The telco is number three in the mobile market and also offers cable TV and internet services.
The IPO comes second in size to that of Thai mass transit company BTS Group Holding – its US$2.1bn listing was the largest in the country last year.
Siam Commercial Bank is True’s financial adviser on the flotation. The bank is also reported to be the joint global coordinator for the IPO alongside Credit Suisse, while BofA Merrill Lynch and UBS are joint bookrunners, with Standard Chartered as lead manager.
The company was not immediately available for comment.
