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Wednesday, 20 August, 2008, 08:10 GMT | more prices >>

ExxonMobil to launch Esso IPO



By Upstream staff 

ExxonMobil expects to raise up to 14.3 billion baht (US$454 million) in an initial public offering of stock in the Thai branch of Esso.

ExxonMobil, which holds an 87.5% share in the Thai branch of Esso, plans to sell 773.33 million new shares, or 22.86%, for a per share price of between 9 and 13 baht.

The final IPO price will be fixed on 24 April according to a filing with the Securities and Exchange Commission.

Another 326.25 million shares, or 9.6% of the total, will be sold by the Finance Ministry, which will dilute its holding from 12.5%, it said.

The proceeds of the share sale would be used mostly to repay debt. The share subscription period will run from 21 to 22 April, while a "greenshoe" option of up to 84.58 million shares will be available if demand exceeds the number of shares offered.

The Thai branch of Esso operates a complex refinery with a capacity of 177,000 barrels per day. In 2007, the company posted a net profit of 7.05 billion baht ($226 million).

The listing is required under an agreement made more than 10 years ago which allowed the oil company to build a refinery in Thailand.

Phatra Securities is financial adviser and lead underwriter for local market and Morgan Stanley is lead underwriter for foreign markets.


Monday, 31 March, 2008, 14:34 GMT  | last updated: Monday, 31 March, 2008, 17:14 GMT

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