BANGKOK: The Thai operator of Bangkok’s SkyTrain system said yesterday that it had raised $2.1bn in one of the biggest initial public offerings (IPOs) worldwide this year.
BTS Group Holdings PCL plans to use the proceeds from the kingdom’s largest ever flotation to participate in the government’s planned expansion of mass transit systems to drive future economic growth.
The SkyTrain system, which started operating in 1999, now comprises two lines of elevated track running for more than 30 kilometres with 32 stations through Bangkok’s traffic-clogged commercial, business and tourist districts.
The company said it had priced the nearly 5.8 billion shares in its BTS Rail Mass Transit Growth Infrastructure Fund at 10.80 baht each, at the top end of its target range thanks to strong investor interest. That values the flotation at about 62.5bn baht ($2.13bn), close to the $2.24bn raised by US drugs giant Pfizer’s animal-health division Zoetis in January, which was Wall Street’s biggest IPO since Facebook.
The BTS IPO is Thailand’s biggest ever, according to a company spokeswoman. “We plan to invest the money to expand with more lines in the future.”
The shares are due to begin trading on April 19. Shares in BTS Group, which are already listed, closed down 0.55 percent at 9.0 baht, outperforming Bangkok’s SET 100 index which slid 2.55 percent in line with falling regional markets.
AFP
