Thai IPO drought may persist as issuers chase valuations abroad

The country’s benchmark stock index is Asia’s worst performer this year, declining about 9%

Thailand’s beleaguered initial public offering (IPO) scene is set to remain subdued as the country’s market revamp needs time to stave off companies listing elsewhere, a senior official said.

“We are in a bearish period for Thai IPOs,” Soravis Krairiksh, the Thai stock exchange’s senior executive vice-president, said on Friday (Dec 26). “It should start to stabilise in 2026, but not bounce back sharply.”

The rise in the number of local firms choosing regional bourses in pursuit of higher valuations spurred the stock exchange to ease its listing rules, Soravis said. Thailand’s IPO process takes around six months from filing to approval, while some overseas exchanges can get that done in less than half the time, he added.

“The most important factor is valuation,” said Soravis. “Issuers are comparing prices, liquidity and the listing process. I understand why companies choose exchanges that can give them better valuations.”

Thailand’s benchmark stock index is Asia’s worst performer this year, declining about 9 per cent. International investors pulled US$3.2 billion from local equities in 2025 after yanking almost US$10 billion in the previous two years. Thailand’s IPO market is on track to have its poorest year since 2010, raising about 13 billion baht (S$537 million), according to the stock exchange’s data.

Soravis said that Thailand’s market conditions remain challenging with regional rivals, including Hong Kong, courting Thai companies and offering higher valuations.

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Cryptocurrency exchange operator Bitkub is considering a stock listing in Hong Kong, reversing its plan in Thailand, Bloomberg News reported. Thai coconut-water maker IFBH in June made its stock debut in Hong Kong.

“In the past, companies were willing to tolerate the delays,” Soravis said. “Today, they have more options and they will choose the markets that are more efficient and convenient. That’s simply a fact.” BLOOMBERG

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