Malaysian billionaire Ananda Krishnan has hired CIMB Investment Bank to advise him on the IPO of local satellite pay-TV company Astro All Asia Networks, according to a Reuters report citing a source close to the matter.
The listing could take place…
Malaysian billionaire Ananda Krishnan has hired CIMB Investment Bank to advise him on the IPO of local satellite pay-TV company Astro All Asia Networks, according to a Reuters report citing a source close to the matter.
The listing could take place before the end of the year and would allegedly only include its domestic operations rather than both its Malaysian and overseas operations.
Previous reports had suggested that the flotation could raise as much as US$1.5bn for Krishan and would mark the third largest IPO in Malaysia this year.
Astro was not immediately available for comment before the press deadline.
The DTH platform was delisted in 2010 after Krishnan made a US$758m offer to purchase the 27.1% he did not already own, valuing the company at US$2.5bn.
The strategy behind the privatisation was to speed up investments in Asia without the need for shareholder approval. But at the time, Astro had already stated that a relisting would “certainly be considered when [the company] achieves a more stable earnings profile.”
Reports of an Astro IPO come as Krishnan has started selling off several assets. Most recently, he sold several power plants worth US$3bn to 1 Malaysia Development, a sovereign wealth fund.
Krishnan has also been rumoured to be considering a sale of Measat, in which he owns a majority stake. The satellite operator is valued at approximately US$500m and Arabsat among others has been tipped as potential buyer.
Krishnan took Measat private in September 2010 after buying Telekom Malaysia’s 15.4% holding in the satellite operator for MYR252.1m (US$81m).
