Thai e-commerce enabler aCommerce files for IPO on the local bourse

aCommerce founder and group CEO Paul Srivorakul

Thai e-commerce enabler aCommerce has filed for an initial public offering (IPO) on the main board of the Stock Exchange of Thailand (SET), becoming the first of the tech startups in the country to move closer to a listing.

The company has appointed Siam Commercial Bank as the financial advisor for the listing, which remains under consideration by SET, according to the bourse’s website.

Founded in June 2013, aCommerce helps brands sell their products online across Southeast Asia by providing solutions and services including web store design and development, performance marketing, warehousing and fulfilment, and shipping and delivery. Its customers include Adidas, Samsung, Microsoft, Nestlé and P&G, according to its website.

DealStreetAsia had recently reported the company’s plans to list in the first half of 2022.

The startup plans to offer 1.94 billion shares in the offering, comprising an equal mix of newly issued shares and those held by its existing investors, equivalent to a 40% stake. Its filing did not reveal the pricing, IPO size — founder and group CEO Paul Srivorakul has previously said the company was seeking to raise over $200 million in a listing — or a timeline.

aCommerce Group Public Company Limited, the entity that has filed for the IPO, is 99.9% owned by ACOM HK, whose major shareholders include Switzerland-based DKSH, which holds an 18.81% stake and private equity giant KKR (18.58%).

According to its filing, it plans to use the proceeds from the IPO for acquisitions and expansion in Vietnam and Malaysia by 2023 as well as on product offerings such as a SaaS platform and a new integrated e-commerce system. It currently operates in Singapore, Malaysia, Indonesia, and the Philippines, besides its home market of Thailand.

Its listing application also sheds light on its financial health. The company reported revenue of 6.33 billion baht ($189.75 million) and a net loss of 492 million baht ($14.7 million) in the nine months ended 30 Sept 2021. It had cash and cash equivalents of 293.6 million baht ($8.78 million) at the end of the period.

In its filing, aCommerce noted its plans to achieve faster growth in future could affect its path to profitability.

“The company has a history of net loss, and the company expects to increase future operating expenses to invest in faster future growth. including new services and developments of the company’s SaaS platform, which may limit the company’s ability to achieve profitability,”  it said.

The company has raised funding in the past from Indies Capital, Switzerland-based DKSH, Emerald Media and MDI Ventures.

aCommerce had in June appointed three independent non-executive members to its board of directors in preparation for the local listing.

Citing Euromonitor data, the Thai startup said in its filing that it was the largest integrated e-commerce support service provider in Southeast Asia in 2020 in gross merchandise value (GMV) terms with a 16.5% market share.

Thailand topped Southeast Asia’s IPO markets in 2021, with local companies raising a whopping $4.2 billion from share sales. The country’s blockbuster IPOs this year included PTT Oil and Retail Business Public Company’s $1.8 billion IPO in February, which was the largest in Southeast Asia in 2021. Microfinance firm Ngern Tid Lor raised $1.2 billion in May, while technology company The One Enterprise collected $129 million in proceeds in November.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.