DTAC confirms Thai listing scheduled for June

21 Mar 2007

The Bangkok Post writes that DTAC, Thailand’s second largest cellular operator, yesterday confirmed that it will list its shares on the Stock Exchange of Thailand (SET) by June this year. DTAC, which is controlled by Norway’s Telenor, is expected to float with a market capitalisation of THB70 billion (USD2.15 billion). According to TeleGeography’s GlobalComms database, DTAC is owned by holding vehicle UCOM (42%), Telenor (32.9%) and CAT Telecom (0.11%); the remainder is publicly traded on the Singapore stock exchange. Telenor Asia and its local affiliate Thai Telco jointly own 86.3% of UCOM’s shares, giving Telenor an overall economic exposure in DTAC of 69.3%. Also planned is the delisting of UCOM, which was delayed last year causing DTAC to postpone its SET listing until this year. Shares will be offered to the Thai public and institutional investors, and once floated on the SET, the operator will qualify for a 5% reduction in corporate income tax.

DTAC plans to launch an initial offering of 222 million shares on the SET, and once this is completed, it will launch an offer for all of the shares of UCOM in exchange for newly issued DTAC shares. Following this process, UCOM would be a de-listed subsidiary of DTAC. DTAC is offering UCOM shareholders approximately 39 DTAC shares for 100 UCOM shares (at current par value).

Thailand, Digital Total Access Communication (DTAC)