Asean-focused. Ex-Head of Thai Research

Athaporn Arayasantiparb, CFA

Asean (Thailand) Focused Independent Research

M Corp Review

M Corp is led by Athaporn Arayasantiparb who served as Head of Research for UOB and ANZ in Thailand and was an award-winning telecoms analyst at UBS in 2010 (AsiaMoney Thailand category) and Regional Strategist for DMG in Singapore. Prior to that, he also served as Kasikornbank credit analyst and scholar. He has a total work experience of 17 years, of which 14 were in research and 4 in research management roles. He started his career as an engineer for PTT and currently manages family investments. He holds an MBA from Stern (NYU) and CFA Charter since 2006. Apart from IPO Radar, which focuses on future listings, MCorp Review also provides six on-going thematic series ranked by frequency in descending order, namely: 1) Silicon Stories (technology) 2) Sathorn Series (financial services) 3) Thai-Coons (billionaire origin stories) 4) Reality Check (data-driven, investigative) 5) Thai Media Spotlight; and 6) Thai Macro Watch (global market drivers).

Equity Capital Markets

Samart Aviation Solutions Public Co Ltd / Equity Capital Markets

We spent three years covering Samart (the holding company) in UOB, and one of the subsidiaries both we and investors were most excited about was CATS or Cambodian Air Traffic Control. Finally, this company has been reincarnated as SAV and is preparing for an IPO. Here's four things you need to know before you plunk in those hard-earned savings (or someone else's hard-earned savings):<ul>
<li>
The IPO is good for 64m new shares (10% of outsanding) and will be firmly underwritten by Maybank Kim Eng, the biggest broker in Thailand.</li>
<li>
The business and structure. The company is a part of the Samart Group, which includes call centers, handsets, and network contractors, but SAV is based in Cambodia, where it serves six airports. It operates under the Cambodian regulator SSCA under a concession that lasts until 2041 and pays slightly less concession fee for overflights than it does for regular ones into an out of the airports.</li>
<li>
The valuation. We value SAV at Bt5.3/sh using DCF and Bt14.2/sh using relative valuation. Part of the reason for this low valuation under DCF is that the firm appears to be past its high growth rate but is still attractive as an income play with a high 7% yield. If SAV offers its IPO shares at under Bt14.2, we would be interested given this unique business model.</li>
<li>
The Risks includes 1) concession discontinuation; 2) reduced traffic; 3) regulatory risks with regards to tariffs; and 4) exchange rate risks.</li>
</ul>

We spent three years covering Samart (the holding company) in UOB, and one of the subsidiaries both we and investors were most excited about was CATS or Cambodian Air Traffic Control. Finally, this company has been reincarnated as SAV and is preparing for an IPO. Here's four things you need to know before you plunk in those hard-earned savings (or someone else's hard-earned savings):

The IPO is good for 64m new shares (10% of outsanding) and will be firmly underwritten by Maybank Kim Eng, the biggest broker in Thailand.

The business and structure. The company is a part of the Samart Group, which includes call centers, handsets, and network contractors, but SAV is based in Cambodia, where it serves six airports. It operates under the Cambodian regulator SSCA under a concession that lasts until 2041 and pays slightly less concession fee for overflights than it does for regular ones into an out of the airports.

The valuation. We value SAV at Bt5.3/sh using DCF and Bt14.2/sh using relative valuation. Part of the reason for this low valuation under DCF is that the firm appears to be past its high growth rate but is still attractive as an income play with a high 7% yield. If SAV offers its IPO shares at under Bt14.2, we would be interested given this unique business model.

The Risks includes 1) concession discontinuation; 2) reduced traffic; 3) regulatory risks with regards to tariffs; and 4) exchange rate risks.


IPO Radar: SAV, Samart's Air Traffic Control Arm in Cambodia

Thailand

SAMART Aviation Solutions PCL serves customers in Thailand.

Samart Aviation Solutions Public Co Ltd (SAV TB)

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

IPO Radar: SAV, Samart's Air Traffic Control Arm in Cambodia

We spent three years covering Samart (the holding company) in UOB, and one of the subsidiaries both we and investors were most excited about was...

Athaporn Arayasantiparb, CFA