Amata VN eyes Bt1.25 billion from IPO
Amata VN, a developer of industrial estates in Vietnam, yesterday announced a share price of Bt7.50 for its upcoming initial public offering (IPO), which would raise around Bt1.25 billion to finance its expansion in that country.
"We expect our sales growth for industrial estates in Vietnam to reach 30-40 per cent in 2017," said Somhatai Panichewa, the company’s chief executive officer.
Amata VN, a 75-per-cent-owned subsidiary of Amata Corp, will be the first Thai holding company listed on the Stock Exchange of Thailand to raise funds domestically in order to finance business expansion in a foreign country.
Somhatai said the proceeds from the IPO would be used to develop the new Hi-Tech Industrial Park project at Amata City Long Thanh, with the first phase covering 2,562 rai (410 hectares).
Units in the project are expected to be on sale in 2017, focusing on industries that use high-technology, pollution-free production.
Two other industrial-estate projects in the pipeline are Amata City Long Thanh and Amata Township Long Tahn, with development work expected to commence shortly, said the CEO.
The company holds more than 12,000 rai of land in Bien Hoa City and Long Thanh City in Dong Nai province, in the south of Vietnam.
"The Amata City Bien Hoa is Amata’s first industrial estate in Vietnam, and currently more than 80 per cent of the area is occupied," she said, adding that the remaining 4,706 rai is expected to be sold within four years.
166.37 million new shares
For the fund-raising, Amata VN will offer 166.37 million newly issued shares with a par value of 50 satang at an IPO subscription price of Bt7.50 each.
The subscription period is set for November 30 to December 4.
Siam Commercial Bank is a joint lead underwriter of Amata VN’s listing.
Veena Jae Lertnimitr, first senior vice president of Siam Commercial Bank said the Amata VN IPO |share was warm welcomed |by investors both institutions and individuals. From the book building, the stock was over subscribed 20 times than offered number.
Veena Jae Lertnimitr, first senior vice president of the bank, said the book-building price was 20 times over the offered subscription.
At the IPO price of Bt7.50 apiece, Amata VN’s stock has a price-to-earnings ratio of 15 times, based on its 2016 revenue projection, said Veena Jae Lertnimitr, first senior vice president of the bank.
