Thailand’s initial public offering (IPO) market has slumped to its lowest level in over a decade, with just four companies going public in the first four months of 2025.
Key takeaways
- Thailand’s IPO activity hit a 13-year low in early 2025, with only four listings amid weak investor sentiment and global uncertainties.
- Stricter SET and MAI listing rules now demand significantly higher profit thresholds, extending IPO timelines and increasing costs.
- Despite the downturn, high-growth sectors continue to attract investor interest, with several IPOs planned for later this year.
The dramatic slowdown is attributed to sluggish investment sentiment, stricter regulatory requirements, and broader economic uncertainties.
Revised listing regulations from the Stock Exchange of Thailand (SET), which came into effect on January 1, have raised the bar significantly for companies seeking to list.
Firms now need to show a net profit of at least 75 million baht in the most recent year to qualify for a SET listing, up from the previous 30 million baht.
For the Market for Alternative Investment (MAI), the annual profit threshold rose from 10 million baht to 25 million.
In addition to the annual requirements, cumulative profit thresholds over two to three years have also increased.
The SET now requires a combined net profit of at least 125 million baht, while the MAI mandates 40 million baht, where previously no such cumulative requirement existed.
These changes have lengthened IPO preparation times to around four years and significantly increased listing costs, delaying access to much-needed fundraising for many companies.
Data from Tris Rating reveals that investment banking revenue at securities firms fell by 29.5% in the first nine months of 2024, the third consecutive year of decline. IPO fundraising plummeted to just 19 billion baht, the lowest in more than 13 years.
Despite the downturn, some companies in high-growth sectors are still moving forward. MAI president Prapan Charoenprawatt noted that investor interest remains strong in businesses aligned with emerging trends.
No new listings occurred on the SET as of May 28, but four firms, Bangkok Asset Intergroup (BKA), LTMH, Mother Marketing (MOTHER), and Pro Inside (PIS), have collectively raised 898 million baht through MAI listings.
More IPOs are expected later this year. Among those preparing to debut on the SET are MR. D.I.Y. Holding (Thailand), ThaiNamthip Corporation, and Atlas Energy, while the MAI lineup includes Skin Laboratory, Nutrition Profess, and Mukdahan International Hospital.
