Mudman IPO set for B5.25 a share

Mudman (MM), a food and lifestyle brands operator, has set an initial public offering (IPO) price at 5.25 baht per share and will open for public subscription next week for trade on the Market for Alternative Investment (MAI).

Montri Sornpaisarn, chairman of Maybank Kim Eng Securities Thailand, the lead underwriter and guarantor of Mudman’s IPO issuance, said the IPO shares initially had a range of 5-5.50 baht apiece, and given the fair response of investors the final price was set at 5.25 baht a share.

The IPO shares will be distributed by six co-underwriters for public subscription from April 3-5.

The shares are expected to start trading on the MAI before the Songkran festival begins.

Proceeds from the IPO will be used to add new restaurant branches both domestically and overseas, for debt repayment and for working capital.

Mudman’s registered capital is 1.05 billion baht with a par value of one baht each. Issued and paid-up capital stands at 843.92 million baht.

The IPO is for 210.98 million shares, which will represent 20% of Mudman’s issued and paid-up capital.

IPO shares will be allotted to existing shareholders of Sub Sri Thai Plc (SST), a major shareholder of MM, who can exercise their pre-emptive rights according to their respective shareholding percentage in SST, subject to a maximum limit of 105.49 million shares or less than 50% of the IPO shares. The rest of the IPO shares will be available to the public.

Mudman operates 439 branches in the restaurant chain and lifestyle segments.

It operates three franchised global brands: Dunkin’ Donuts, Au Bon Pain and Baskin-Robbins.

Mudman also operates its own brands, including 24 Greyhound Cafe branches, consisting of 13 directly invested branches in Thailand and 11 franchised branches in Hong Kong, Shanghai, Beijing and Malaysia.