Bangkok--26 Sep--Ogilvy Public Relations Worldwide
Tesco Lotus has today announced plans for an Initial Public Offering (IPO) of a Property Fund to be listed on the Stock Exchange of Thailand, which will provide investors with the chance to share in its success in Thailand.
With an appraised value of more than THB 14 bn, the Fund will initially comprise 15 existing high quality shopping malls, each anchored by a Tesco Lotus hypermarket, in prime locations across Thailand, as well as freehold land and ground leases. Tesco Lotus will continue to lease hypermarket areas in the 15 shopping malls from the Fund.
Tesco Lotus will hold up to 33% of the units of the Property Fund, in compliance with regulations. It is also the intention to make the initial public offering available to both institutional and retail investors.
Tesco Lotus Chief Executive Officer, Chris Bush said:
“For the past 17 years, Tesco Lotus has been at the forefront of the Thai retail industry, pioneering modern and innovative products, services and solutions that create great value for customers. We have invested more than THB 130 billion into the Thai economy and now employ more than 37,000 staff nationwide, who serve 35 million monthly customers.
“The Property Fund provides an opportunity for us to invest in future innovation and growth for customers. I am delighted that it also gives our customers, staff, business partners and stakeholders a way to participate in Tesco Lotus’ growth and success.”
The application to establish the Property Fund was filed today with the Securities and Exchange Commission (SEC). The IPO will be the largest property fund initial public offering in Thailand and the most geographically diverse, with a strong portfolio of properties in Bangkok, provincial capitals and popular tourist areas. The final structure of the fund is subject to approval by the SEC and subject to market conditions.
Notes to editors
Tesco Lotus is a leading retailer in Thailand, with more than 800 stores across five formats (Plus mall, Extra, Hypermarket, Talad and Express) and employing more than 37,000 staff across the country.
Tesco Lotus’ core purpose is to create value for customers to earn their lifetime loyalty, supported by its values: no-one tries harder for customers and treat people how we like to be treated. It is currently celebrating its 17th anniversary.
Tesco, headquartered in the UK, is one of the world’s leading retailers and operates over 5,400 stores across 14 countries and employs nearly 500,000 people.
This announcement is not an offer of securities for sale in the United States or elsewhere. The securities referred to herein are not being registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Securities Act or pursuant to an exemption from such registration. There will be no public offering of the securities referred to herein in the United States. Copies of this announcement are not being, and should not be, distributed in or sent into any jurisdiction other than Thailand.