Thailand Digest: ThaiBev, CP Group weigh IPO of units

Thai Beverage is considering an IPO for its spirits unit in Singapore, while Thai conglomerate CP Group is mulling a $1-billion IPO in Thailand for its seed and animal feed business.

ThaiBev’s 4th attempt at Singapore IPO of brewery unit

One of Southeast Asia’s leading beverage companies, Thai Beverage (ThaiBev), is considering an IPO for its spirits business in Singapore, among other options, Bloomberg News reported.

Owned by Thai billionaire Charoen Sirivadhanabhakdi, ThaiBev operates in four segments – spirits, beer, non-alcoholic beverages, and food. Its most popular spirits brands include Ruang Khao, SangSom, Mekhong, Hong Thong, Blend 285, GRG’s iconic Grand Royal whisky, and the group’s signature beer Chang.

As of September 30, 2020, ThaiBev has 218 subsidiaries and associates, including 19 distilleries, three breweries, and 21 non-alcoholic beverage production facilities.

In August last year, the firm deferred its third attempt at a Singapore IPO of its brewery unit, citing “prolonged challenging market conditions” in a stock exchange filing, Bloomberg reported.

CP Group eyes $1b IPO for seed & animal feed business

Thai conglomerate CP Group is considering a $1-billion IPO in Thailand for its seed and animal feed business, according to Bloomberg News.

The Charoen Pokphand Group is involved in eight business lines covering 13 business groups ranging from agriculture to technology along with e-commerce and digital. Moreover, these companies consist of both listed and private companies. It is also Thailand’s largest private company.

Owned by the Sino-Thai Chearavanont family, the group is also the largest privately held Royal Warrant holder of the Thai Royal Family. Charoen Pokphand Group Co Ltd is the parent company of the group.

The group’s agriculture unit, Charoen Pokphand Foods, integrates agro-industrial and food businesses with animal husbandry, including livestock and aquatic animals, covering the main types of animals such as swine, broiler, layer, duck, shrimp, and fish.

The company’s animal feed business includes products such as swine feed, chicken feed, and shrimp feed, both in the form of concentrate and instant food in powder and pellet form.

The group also operates animal feed businesses in 11 countries around the world, namely Thailand, Vietnam, India, the Republic of China (Taiwan), Turkey, Malaysia, Philippines, Cambodia, Laos, and Russia, and invests in China and Canada.

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