Vietnam’s Highlands Coffee is exploring a local IPO to raise $300-400 million, while Indonesian gold miner PT Merdeka Gold Resources has appointed investment banks to advise on a potential Hong Kong listing.
Highlands Coffee eyes up to $400m in local IPO
Vietnam’s largest coffee chain, Highlands Coffee, is exploring an initial public offering (IPO) in Vietnam to raise $300 million to $400 million, per a Bloomberg report.
The company is working with a financial advisor and may add more banks, the people said on the condition of anonymity.
In April last year, DealStreetAsia first reported that Highlands Coffee is reviving listing plans amid surging demand, with the Vietnam stock exchange being the first choice.
In an interview with DealStreetAsia, founder and CEO David Thai revealed that the company is actively engaging with investment bankers such as UBS and Jefferies, among others, for its IPO.
Deliberations are ongoing and details such as the IPO size might change, the Bloomberg report said, citing a source close to the matter.
The Philippines-based Jollibee Foods Corp (JFC), Asia’s largest food service company, owns a majority stake in Highlands Coffee. In 2016, Jollibee and its partner firm Viet Thai International Joint Stock Company announced plans to list Highlands Coffee on the Vietnam stock exchange by July 2019.
However, the plan was disrupted by the COVID19 pandemic, which shifted global capital focus and altered market dynamics.
Founded in 1999, Highlands Coffee has grown exponentially since the Jollibee Group acquired a 50% stake in the company in 2012. It currently dominates the Vietnamese coffee market with a 35-40% share.
PT Merdeka Gold Resources mulls Hong Kong listing
Indonesian gold miner PT Merdeka Gold Resources has appointed investment banks to advise on a potential Hong Kong listing, per a Bloomberg report.
The company, a subsidiary of PT Merdeka Copper Gold, is working with Citic Securities, Morgan Stanley, and UBS on the proposed offering, the people told Bloomberg, asking not to be identified to discuss a private matter.
Discussions remain at a preliminary stage, with the size and timing of the transaction yet to be finalised.
If completed, the deal would be among the few instances of a non-Chinese company seeking a debut in Hong Kong in recent years.
Last year, PT Merdeka Gold Resources Tbk was targeting to raise up to 4.88 trillion rupiah ($300 million) from a local IPO, which could be the biggest initial share sale so far this year in the country.
Shares of PT Merdeka Gold Resources surged 25% to reach 3,600 rupiah each in its market debut on the Indonesia Stock Exchange. The gold miner raised 4.66 trillion rupiah ($280 million) in its initial public offering.
