Asean-focused. Ex-Head of Thai Research

Athaporn Arayasantiparb, CFA

Athaporn 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 22 years, of which 19 were in research and 9 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 performs financial advisory services for TKC Services and provides 11 other on-going thematic series ranked by frequency in descending order, namely:

1) Snippets (news-driven);
2) Sathorn Series (financial services);
3) Silicon Stories (technology); 
4) Thai-Coons (billionaire origin series);
5) Reality Check (data-driven, investigative);
6) Thai Media Spotlight;
7) Political Pit Stop; 
8) Telecom Review; 
9) Thai Macro Watch (read-through from foreign events);  
10) Small Cap Diary; and
11) Property Grid

There are also 3 limited-time series driven by specific events or locations, namely:
1) Thai Corona Crisis;
2) South Series; and
3) Mechanics and Details (deal forensics).

IPO Radar: SPRIME, an Office REIT from Singha Group

IPO Radar: BGREIT, the Office REIT that Hosts Citi's Thai HQ

Reality Check XVI: Was the MK Property Deal A Good Idea for Supalai?

IPO Radar: Asia Hospitality REIT, a Peek into the Phuket & Samui Tourism Scene

IPO Radar: BKER, the Trendy REIT Behind Crystal Design Center

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

Supalai Real Estate Investment Trust / Equity Capital Markets

Supalai Real Estate Investment Trust (SPALIRT TB)

Supalai, the country's second most valuable property company traditionally focused on the residential niche, is launching an IPO of its office REIT on Rama 3.<ul>
<li>
The IPO. As a norm, Thai REITs are initially priced at Bt10/unit. The initial asset size of Bt3.2bn implies a market cap of US$106m and 320m units. Jay Capital is Financial Advisor, with SPM as Property Manager, Adelphi as REIT Manager, and KTAM as Trustee.</li>
<li>
Assets and business. The asset is the 34-storey Supalai Grand Tower on Rama 3. The office building has an 88.5% occupancy rate. Utilities and parking space account for 7% and 5% of revenue respectively, and the main growth driver should be the 3% rental increase across most space.</li>
<li>
Valuations. Our valuation range is very tight at Bt11.5-11.7/unit, implying a 15-17% upside from IPO price. As an existing Supalai shareholder, we are planning to participate. Supalai itself should also benefit marginally from value crystallization.</li>
<li>
Key risks and limits. Key risks to the investment case includes potential loss of tenants, fund execution risk, land repossession, and macroeconomic risks. Property fees and maintenance fees are capped at 2.7% and 2% respectively.</li>
</ul>

Supalai, the country's second most valuable property company traditionally focused on the residential niche, is launching an IPO of its office REIT on Rama 3.

The IPO. As a norm, Thai REITs are initially priced at Bt10/unit. The initial asset size of Bt3.2bn implies a market cap of US$106m and 320m units. Jay Capital is Financial Advisor, with SPM as Property Manager, Adelphi as REIT Manager, and KTAM as Trustee.

Assets and business. The asset is the 34-storey Supalai Grand Tower on Rama 3. The office building has an 88.5% occupancy rate. Utilities and parking space account for 7% and 5% of revenue respectively, and the main growth driver should be the 3% rental increase across most space.

Valuations. Our valuation range is very tight at Bt11.5-11.7/unit, implying a 15-17% upside from IPO price. As an existing Supalai shareholder, we are planning to participate. Supalai itself should also benefit marginally from value crystallization.

Key risks and limits. Key risks to the investment case includes potential loss of tenants, fund execution risk, land repossession, and macroeconomic risks. Property fees and maintenance fees are capped at 2.7% and 2% respectively.


IPO Radar: Supalai REIT, Office Tower Operator on Rama 3