Sri Trang to raise $360m in Singapore listing

SINGAPORE - Sri Trang Agro-Industry Pcl, Thailand's largest publicly-traded rubber maker, is looking to raise up to $360 million through a listing in Singapore, according to a term sheet seen by Reuters yesterday.
The company will offer up to 280 million shares and could raise between $280 million and $360 million.
It initially announced the plan for a dual listing in May but global market uncertainties last year caused a delay. The time now looks ripe, with physical rubber prices around a record high and futures hitting a record yesterday.
Sri Trang is the world's biggest natural rubber producer and exporter, primarily making blocked rubber used for tyres, with Bridgestone Corp, Michelin and Goodyear Tire & Rubber among its big buyers.
The stock hit an all-time high on Wednesday after a company director forecast rubber prices would continue to rise this year and said the company expected fat profit margins. It surged eight-fold last year and ranked among the top 20 performers on the Thai bourse thanks to a jump in rubber prices.
At 3.37am yesterday, the Thai shares were down 3.1 per cent at 39.75 baht ($1.68). The market was concerned the offer price in Singapore would be lower than its market price in Thailand, an analyst at broker Phillip Securities (Thailand) said.
The broad Thai market (.SETI) was up 1.04 per cent.
Standard Chartered is a joint bookrunner for the Singapore share offer. The listing is expected to take place on Jan 28, the term sheet said. JP Morgan and CIMB are also joint bookrunners and JP Morgan is sole global coordinator.
The proceeds of the sale will go towards expanding output by acquiring, building or expanding processing facilities, according to a preliminary prospectus on company's website. Reuters

(Source: http://www.todayonline.com/Business/EDC110114-0000207/Sri-Trang-to-raise-$360m-in-Singapore-listing)