Thailand: e-logistic developer NETBAY hopes to garner $4.5m from IPO

Image from Netbay

Thailand’s integrated e-logistic developer NETBAY is hoping to raise 160 million baht ($4.5 million) from its initial public offering (IPO), after it fixed the issue price at 4 baht each.

The company had submitted the first filing to offer 40 million shares, representing 20 per cent of total capital, in the IPO last month.

NETBAY’s price per earning is 11.76 times, giving a discount of 37.41 per cent, Netbay CEO Pichit Viwatrujira-pong said.

He earlier told the media that the proceeds would be used to expand its business to achieve 20 per cent growth in revenue this year from 223 million baht in 2015.

“Netbay is another attractive company as it has constant revenue growth and its business is in line with the government’s digital economy policy,” he added.

Meanwhile, Internet Thailand Pcl (INET), the country’s leading ICT infrastructure services provider and a major shareholder of NETBAY with a 25 per cent stake, has no plans to sell its share as it believes that NETBAY has potential to grow and will receive good feedback from investors.

Thanks to a rapid demand for cloud service, Morakot Kulthamyothin, managing director of INET, said it revised the revenue projection from 800 million baht to 900 million baht this year.

“The revenue from cloud solution service represented around 43 per cent of total (revenue), but it is expected to grow to 60-70 per cent this year as the demand has expanded over 70 per cent. In addition, it gives the primary margin of 30-40 per cent, higher than 10 per cent from our ICT data centre services,” the MD said.

Currently, 42.73 per cent of its revenue comes from cloud solutions, 17.93 per cent from internet service, 17.97 per cent from organization server and 3.39 per cent from credit card payment service.

It is constructing the first phase of ICT data centre III in Saraburi province, which is scheduled to complete by March next year.

Maybank Kim Eng (Thailand) is a financial advisor and lead underwriter for NETBAY’s IPO. Tisco Securities and RHB Securities (Thailand) are co-underwriters. It will start trading on Thai bourse on June 17, according to the Securities and Exchange Commission.

Netbay’s services include private cloud computing on a 24-hour basis as a single business information gateway for business-to-government, business-to-business and business-to-customer transactions.

It provides an omni-channel connectivity gateway that covers data processing and backup, operating systems for data exchange, data networking and security systems, which facilitate and enhance the speed of customers’ business processes and reduce red tape and the costs associated with electronic, paperless data exchange.

Also read: 

Thailand: Netbay to divest 20% stake via IPO next month, to list on MAI

Thai steel fabricator BT Wealth Industries to file for IPO, raising fund for expansion

Thailand’s PTT studies proposal for retail business IPO

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.