Bangkok--9 May--SET
LH Financial Group PCL is ready to commence trading on The Stock Exchange of Thailand (SET) beginning from May 10, with a market capitalization at IPO prices of THB15.92 billion (approx. USD513.54 million) and under the symbol “LHBANK”.
LH Financial Group PCL will be in the Banking Sector, Financials Industry Group after raising capital of more than THB2.02 billion (approx. USD65.16 million), making it the first company to list on the SET this year and the latest bank to be listed in 15 years, Mr. Chanitr Charnchainarong, SET Group Head, Issuer & Listing said.
LH Financial Group is a holding company with 99.99% of the shares in Land and Houses Retail Bank PCL. The bank operates as a retail bank providing loan services to retail clienteles and SMEs through 30 branches (as of December 31, 2010).
Mr. Chanitr said, “The listing of LHBANK will help boost the SET’s market capitalization and add more attraction to the Thai bourse while offering an alternative of quality securities to investors. So far, securities in the Banking Sector have shown good returns and continued to be an attractive destination for investors. In Q1/2011, Banking Sector had the biggest rise in trade value compare to other sectors, jumping to 21.63% of total trade from 14.73% in the preceding quarter.
LHBANK has a paid-up registered capital of THB11.37 billion (approx. USD366.80 million), including original 9.92 billion common shares and 1.44 billion capital-increase common shares that were offered at THB1.40 per share during the IPO, from April 27 to 29. Asia Plus Advisory Co., Ltd. was its financial advisor, while Asia Plus Securities PCL and CIMB Securities (Thailand) Co., Ltd. were its underwriters.
The firm’s P/BV ratio is 1.3 times, based on the IPO price of THB1.40 per share, when compared with all listed banks on the Thai bourse during the course of one month, from March 11 to April 11, 2011, which showed an average of 1.9 times. In a consideration of dividend payment, LHBANK will consider its performance, the shareholders’ long-term return rate and consolidated financial statement. In addition, the dividend payment must conform to the notification of the BOT and in accordance with the law.
Its three major shareholders after the IPO are Land and Houses PCL (35.75%), Quality Houses PCL (22.45%) and Ms. Piengjai Harnpanich (17.33%).
Those interested can check for more information from the company’s prospectus, posted on the Securities and Exchange Commission (SEC)’s website, www.sec.or.th, or on the company’s website, www.lhbank.co.th, as well as at www.set.or.th