Bangkok Airways set for IPO
Bangkok Airways is expected to launch an IPO in July in a partial divestiture set to end its 45 years as a private company.
The family-owned airline plans to divest a 30% stake on the Stock Exchange of Thailand (SET), with the proceeds used to fund the company’s growth plans which include a new MRO hangar, an IT system upgrade as well as help with fleet expansion, with ten more aircraft expected to join the fleet in the next four to five years.
In a filing with the SET the company confirmed it was a premium boutique airline operating flights to 12 domestic and 11 international destinations. The airline has various aviation-related subsidiaries, including airports, ground handling, air-cargo and airline-catering.
The carrier plans to list 730 million shares, of which the lion’s share of 520 million will be new shares and the rest existing shares, according to the filing.
Bangkok Airways has refused to discuss how much it hopes to raise via the IPO or how it plans to use the money. “We can only disclose our spending plan after entering SET due to SET’s regulations,” a spokesman told Asian Aviation.
Nok Air raised THB4.875 billion (US$156 million) in an IPO in June, with a list price of 26 baht rather than an expected 28 baht, reflecting the weaker global market conditions.