Thai drinks giant Thaibev is to resume it’s IPO (Initial Public Offering) on the Singapore Stock Exchange (SGX) of spin-off beer company BeerC0 Ltd.
In a letter posted on their website dated 5th May 2022 they announced “ThaiBev is pleased to announce its intention for BeerCo to resume its seeking of the Proposed Spin-off Listing and that in connection therewith, International Beverage Holdings Limited, a wholly-owned subsidiary of ThaiBev which holds all of the issued ordinary shares of BeerCo, will conduct a public offering of up to approximately 20% of the total number of issued ordinary shares of BeerCo (“BeerCo Shares”)”
It is estimated the listing could raise the maker of Chang lager between US$800 million and US$1 billion.
ThaiBev had previously attempted to launch an IPO for BeerCo Ltd in early 2020, however that attempt was withdrawn due to the onset of the pandemic. A second attempt that was also aborted was made in early 2021.
The three main reasons cited for the renewed attempt are the improvement of the financial position of the ThaiBev Group bringing with it an increased financial flexibility to grow its other business segments, the positive impact a dedicated board of directors and management team focused solely on growing the beer business would have and the unlocking of shareholder value for ThaiBev investors.
BeerCo Ltd BeerCo is a company incorporated in Singapore as an investment holding company. It’s business includes the production, distribution and sales of beer, including “Chang”, “Archa” and “Federbräu”, in Thailand, and through it’s interest in Saigon Beer-Alcohol-Beverage Corporation (SABECO), the production, distribution and sales of beer, including “Bia Saigon and “333”, in Vietnam.
The BeerCo Group has a total of three breweries in Thailand and a network of 26 breweries in Vietnam.
ThaiBev is one of South-east Asia’s largest makers of drinks and is controlled by Thai tycoon Charoen Sirivadhanabhakdi.
The size of the potential fund-raising has been halved from a year ago because of the impact of the Covid-19 pandemic and decreased market valuations.
