PM Thoresen Asia Holdings (SET:PMTA) IPO Priced at THB 17-20, Pre-emptive for Shareholders
BANGKOK, Jan 20, 2015 - (ACN Newswire) - Thoresen Thai Agencies PCL (TTA; SET:TTA) has settled the rights offering subscription price for its newly issued shares at THB 14 per share, representing a 25% discount, at a ratio of 15 existing shares to 6 newly issued shares with two free warrants. In addition to the RO, TTA will also offer PM Thoresen Asia Holdings (PMTA) shares, as a pre-emptive right to its shareholders, in the price range set at THB 17 to THB 20 in an initial public offering.
According to Mr. Chalermchai Mahagitsiri, President and CEO of TTA, The Executive Committee at the TTA meeting dated January 19, 2015 resolved to determine the offering price of the company's new shares that will be sold to the existing shareholder of TTA at THB 14 per share. The RO price reflects a discount of 25% on the volume weighted average price of TTA's shares over the past 30 consecutive business days (between November 18, 2014 - January 5, 2015) at THB 18.68 per share.
TTA announced to increase its registered capital by THB 739,383,450, from THB 1,537,463,800 to THB 2,276,847,250 by issuing ordinary shares at the par value of THB 1 (One Baht) per share with the total value of up to THB 739,383,450. Up to 520,470,459 shares will be allocated to the Company's existing shareholders via a Rights Offering (RO) at a ratio of 15 existing shares to six new shares with two free warrants (TTA-W5). The remainder of shares will be allocated in support of the exercise of TTA-W3, TTA-W4 and TTA-W5 warrants. The XR date is scheduled for February 5, 2015, while TTA's shareholder registration book closing date for purchase of the new shares is scheduled for February 10, 2015 and the subscription and payment date is set out between February 25 to March 3, 2015.
"As part of the capital increase plan, the Board of Directors also provided a discount for the shareholders of the Company so that they can yield more fruitful benefits of investing in TTA shares. Not only a discount of 25% on the TTA new share price, but also the TTA-W5 warrants and a dividend of THB 0.25 will be given to TTA's shareholders. Additionally, they will also be eligible to acquire the shares of PMTA that will soon go public on SET," stated Chalermchai.
PMTA is a holding company which owns a 100% stake in Baconco Co., Ltd., a well-established company which produces and supplies chemical fertilizers and agrochemical products in Vietnam. As a leading Vietnamese premium fertilizer company, Baconco has expanded its business and customer base significantly and consecutively and achieved the 25% share in the premium fertilizer segment. In Vietnam, demand for high grade fertilizer consumption reaches 10 million tonnes and it has the tendency to grow continually.
Mr. Sittichai Mahaguna, EVP Head of Corporate Finance and Equity Capital Markets of CIMB Thai Bank Public Company Limited, the financial advisor to PMTA on the SET listing, said, "PMTA will sell a total of 35.42 million ordinary shares which include 27.32 million existing shares that will be sold by TTA and 8.10 million new ordinary shares. The total number of 35.42 million shares will be prior offered to the existing shareholders of TTA on the pre-emptive right basis. The offering price range of PMTA shares is THB 17-20, representing the fully diluted PE ratio of 5.6 - 6.7, lower than the ratio of 12 for the petrochemicals and chemicals sector as defined on SET (the final price will be announced shortly). The book closure date for the shareholders to receive rights to subscribe for PMTA shares is 10 February 2015 with the XB symbol to be displayed on 5 February 2015. Oversubscribed allocation will be capped at 20% of their prescribed shares. Any unsubscribed shares will be offered to the public at the same conditions and offering price. Upon the completion, TTA's shareholding ratio in PMTA will decline to 65%."
"Baconco, a leading and highly acclaimed producer and supplier of quality agrochemical solutions under the 'STORK' trademark, has the market share of 25% in Vietnam's high-end fertilizer sector and operates the large, fully-furnished warehouse, strategically located in Hai Phong City, a prime location that is easily accessible to more than 130 wholesaler customers nationwide. Additionally, Baconco is strengthened by the large local customer base and a solid network of more than 10 dealers abroad with export revenues that come from more than 32 fast growing ASEAN and African nations," added Sittichai. "By presenting the prospectus of PMTA to general investors, we have learned that PMTA has been overwhelmingly accepted as investors see high growth potential in the PMTA business. We believe that TTA's shareholders will leverage their rights to oversubscribe PMTA shares as PMTA creates a very attractive and impactful alternative of investment," said the financial advisor. The President and CEO of TTA added that in 2009, TTA invested US$ 10 million (THB 300 million) in Baconco. Since then, Baconco has earned profits of THB 200 - 300 million and created higher gains for TTA on a yearly basis. Thus, this is a very significant opportunity for TTA's shareholders to receive the rights offering to buy PMTA shares and enjoy regularly growing profits from Baconco. "I am very confident that the capital increase of TTA and the rights offering to purchase PMTA shares will encourage the shareholders to appreciate the good value in return. Fund that is raised from this transaction is expected to reach approximately THB 7,286 million, ensuring TTA of more solid financial status and increasing the investment potential of the company. This will generate higher yields and support the company's long term growth," concluded Chalermchai.
About Thoresen Thai Agencies PCL (TTA)
Thoresen Thai Agencies Public Company Limited ("TTA") is a strategic investment holding company listed on the Stock Exchange of Thailand (TTA:TB). Its investment strategy is to grow through a balanced and diversified business portfolio both domestically and internationally. TTA's businesses include but are not limited to dry bulk shipping, offshore oil & gas services, fertilizer production and distribution, and integrated port and logistics services with assets valued at over THB 49 billion and market capitalization over THB 30 billion (as of September 30, 2014). For more information, please visit www.thoresen.com.
Source: Thoresen Thai Agencies PCL (TTA)
Contact:
Thoresen Thai Agencies PLC Ravisada Angkeeros ; E-mail: ravisada_a@thoresen.com Tel: +66 2254 8437 Ext. 393 ; Mobile: +668 1398 5098 Natasa Urcharoenngan ; E-mail: natasa_u@thoresen.com i2C Communications NapatsakornBorisuthsawad ; E-mail: hallsnapat@gmail.com Tel: +66 2645 0037 Ext. 102 ; Mobile: +668 9799 9768
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