Thai bourse lists BTSGIF, the first Thai infrastructure fund, on April 19
BANGKOK, April 17, 2013 - The Stock Exchange of Thailand (SET) will list BTS Rail Mass Transit Growth Infrastructure Fund with a size of THB 62.51 billion (approx. USD 2 billion), on its main board on April 19, under the ticker "BTSGIF".
Chanitr Charnchainarong, SET Executive Vice President, said: “BTSGIF is the first infrastructure fund listing on the Thai bourse, and will be in the Transportation and Logistics sector. It sold 5,788 million units via initial public offering (IPO) at THB 10.80 per unit, with a total worth of THB 62.51 billion, between March 29 and April 4. Phatra Securities pcl is the financial advisor, and BBL Asset Management Co., Ltd. is the fund manager.”
“BTSGIF will be a role model for the private sector and state enterprises seeking to use the capital market to enhance business opportunities. Investors in BTSGIF will play a key part in Thailand’s infrastructure development to support its economic growth,” Chanitr added.
BTSGIF invests in the future net farebox revenues, after deduction of operating costs and capital expenditures, generating from the Bangkok Mass Transit System pcl (BTSC)’s operation of the core BTS skytrain system under the Concession Agreement until December 4, 2029, which includes the core Sukhumvit Line from Mo Chit to On Nut and the core Silom Line from Taksin Bridge to the National Stadium, with a combined track length of 23.5 kilometers.
Voravan Tarapoom, Chief Executive Officer of BBL Asset Management Co., Ltd, said: “The offering of BTSGIF received a strong response from retail and institutional investors. The BTS skytrain, operated by BTSC, having long term experience in mass transit management, is the backbone of central Bangkok’s mass transit system that covers key business areas. BTSGIF will be a solution for those who want to invest in major Thai infrastructure developments and seek opportunities to reap consistent investment returns and benefits from growing farebox revenues due to potential increases in BTS ridership, future extensions of the BTS skytrain network, and farebox adjustment under the concession agreement.”
Complying with the fund scheme, BTSGIF’s dividend policy is to pay more than once a year if the fund has sufficient retained earning, at no less than 90 percent of the adjusted net profit. It also has a policy to pay reductions of paid-in capital to the unitholders. The fund's top three unitholders after its IPO are BTS Group Holdings Public Co., Ltd. 33.33%, MORGAN STANLEY & CO. INTERNATIONAL PLC. 21.33%, and UBS SECURITIES PTE LTD. 21.33%
For more information, please see BTSGIF’s prospectus at the Securities and Exchange Commission's website at www.sec.or.th and general information at www.btsgif.com and SET's website at www.set.or.th