Nation Broadcasting Corp Set Its Initial Public Offering Price

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NBC upbeat on response to IPO

By THE NATION

Published on October 21, 2009

Nation Broadcasting Corp yesterday set its initial public offering price at Bt2.90 per share, saying it was appropriate and not too high considering the firm's expansion plans for new media and cable TV in the future.

"We believe the company will get a good response from investors for its IPO share subscriptions," said Adisak Limprungpatanakij, president of the subsidiary of Nation Multimedia Group.

NBC was expected to record revenue growth of 30 per cent in the first half of this year, he said. For the second half, the economy seemed to be recovering, and stock market sentiment should be brighter, he said.

CIMB Securities (Thailand), the lead underwriter, will conduct a roadshow next week in major provinces.

A brokerage source said NBC's IPO price of Bt2.90 left plenty of room for an upside gain as it was set at a 50-per-cent discount.

NBC's pro forma price-to-earnings ratio is 15-16 times while the media sector in the Market for Alternative Investment is now 18-20 times.

Kitisak Amornchairojkul, acting CEO of CIMB Securities (Thailand), said subscriptions would open for the 65 million IPO shares to be issued from November 2-4.

Among the co-underwriters are Finansia Syrus Securities and Aira Securities.

Nation Multimedia Group's shareholders have the right to subscribe to the IPO at the ratio of one NBC share per nine NMG shares.

Adisak said that out of the IPO proceeds of Bt145 million, the company would spend Bt100 million to Bt130 million on improving technology and equipment next year. The company would also invest Bt60 million to Bt70 million in technology and equipment development for digital cable TV. The news-on-mobile expansion project would take Bt5 million to Bt10 million.

And Bt30 to Bt40 million would be used to launch a channel next year broadcasting on such media as the KU-band of a TV satellite, he added.

-- The Nation 2009/10/21

[nakachalet]

just where can a person buy say 100,000 shares and

what is the commission involved, pls?

[Jimjim]

Looks interesting, if you're in to stock.

[hustlehouse]

I suppose you should contact CIMB Securities and open a account with them. Or maybe contact your overseas broker and get him to buy the shares for you.

Any way is going to be interesting to see which way will go when lists.