Meat producer Betagro shares fall on commercial debut

Meat producer Betagro shares fall on commercial debut
Meat producer Betagro shares fall on commercial debut

Betagro Plc and SET executives on Wednesday’s trading debut. (Photo: Twitter account @SET_Thailand)

Shares of meat producer Betagro Plc (BTG) fell more than 5% on its stock market debut on Wednesday morning, marking a weak start to the country’s second-biggest listing this year amid price concerns foodstuffs.

BTG shares fell 2.75 baht or 6.88% to 37.25 at 00:14. The decline came as the SET index was down 0.12 points to 0.01% at 1,625.61.

The initial public offering (IPO) is Thailand’s second largest listing in 2022 after that of Thai Life Insurance in July.

Betagro, which produces meat and pet food, announced in October that it would sell up to 25% of the shares, raising at least 17.4 billion baht.

Cornerstone investors made up 42% of its core offering, including domestic funds, Krungsri Asset Management and TISCO Asset Management, according to a term sheet.

Foreign investors include Fiera Capital and Eurizon Capital.

Some analysts linked part of the share’s decline to concerns over potential government action on food prices.

“There is uncertainty about whether the government will take action against high pork prices,” said Athaporn Arayasantiparb, analyst at M Corp Review.

Other risks include rising prices for wheat, which is used in the production of pig feed, he added.

Bookrunners for the IPO were BofA Securities, Bualuang Securities and Phatra.

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. producer meat Betagro share a fall during his debut commercial

. Meat producer Betagro shares fall commercial debut

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