Astro to use bulk of IPO proceeds for capital expenditure (

12 August 2012 10 h 46 min Comments Off

Share this Article



Astro Malaysia Holdings Bhd aims to list on the Main Market of Bursa Malaysia and has unveiled its draft prospectus on the Securities’ Commission website yesterday.

The joint principal advisers and joint managing underwriters to this pending initial public offering (IPO) exercise are CIMB Investment Bank Bhd, Maybank Investment Bank Bhd and RHB Investment Bank Bhd.

The satellite television (SatTV) and digital radio broadcaster said in the prospectus that it planned to use 58% of the money that would potentially be raised for capital expenditure, 29.3% for repayment of bank borrowings, 8.6% for working capital and the rest for paying off its listing expenses.

The draft prospectus for the sole SatTV provider in Malaysia showed that its revenues were on a steady upward trend increasing from RM3.24bil in the financial year ended Jan 31 (FY10) to RM3.66bil in the next year and eventually grew to RM3.89bil in FY12. Net profits including minority interests, however, showed a more erratic trend initially increasing from RM613.93mil in FY10 to RM827.48mil in FY11, then declining to RM629.62mil in FY12.

Trend for earnings before interest, taxes, depreciation and amortisation (EBITDA), however, showed an increasing trend as well from RM986.2mil in FY10 to RM1.37bil in the next year and then seeing further growth to RM1.41bil in FY12.

The SatTV services provider saw net profit margins recorded in FY12 at 16.2% while EBITDA margins were at 36.4% in the same financial year as well.

“Pro forma depreciation and amortisation increased by RM100.9mil, or 40.3%, from RM250.4mil for FY11 to RM351.3mil for FY12,” it said. “The increase was primarily attributable to depreciation arising from a higher deployment of Astro B.yond set-top boxes as a result of an increase in HD and PVR take-up by new and existing subscribers as well conversion,” it added.

Astro Malaysia, which had previously been listed under the name Astro All Asia Networks Plc, provides SatTV services to both Malaysian and Bruneian homes, the draft prospectus showed.

It also showed that total intangible assets stood at RM1.76bil against the next biggest asset component of property, plant and equipment at RM1.71bil. Astro Malaysia’s total equity as at April 30 was a negative RM1.13bil while it said its total indebtedness, which also comprised contingent liabilities, was at RM4.56bil.

“The deficit position is primarily due to the reorganisation, whereby for accounting consolidation purposes, our acquisition of Measat Broadcast Network Systems Sdn Bhd (MBNS), our largest operating subsidiary, was accounted for as a capital reorganisation of MBNS and the difference between the consideration for MBNS and the net assets of MBNS at the date of acquisition has been taken to capital reorganisation reserve,” it explained in the draft prospectus.

“Notwithstanding the above, after taking into account the public issue, our group’s shareholders’ equity as it appears in the pro forma consolidated balance sheets as at April 30, is no longer in deficit,” it said.

It was previously reported before that the Astro relisting could be raising up to US$1.5bil (RM4.65bil).

Source: (09/08/2012)

Related posts:

Comments are closed

Other News

  • China (mainland) film Brilliant future expected for Chinese cinema: interview

    Brilliant future expected for Chinese cinema: interview

    Jiang Wen (R), a well-known Chinese director, walks down the red carpet with his wife Zhou Yun at the opening ceremony of the 70th Venice Film Festival in Venice, Italy, Aug 29, 2013. [Photo / Xinhua] (Xinhua, 04 Sep, 2013)Chinese films have achieved over the past few years very positive results in terms of both quantity and quality, and will drive their technology-led development, 70th Venice Film Festival president Alberto Barbera told Xinhua in a recent exclusive interview. This venerable [...]

    Read more →
  • Breaking news China (mainland) film Cloudary extends script to movie industry

    Cloudary extends script to movie industry

    (, 26 Aug, 2013) Cloudary Corp – an online literature platform owned by interactive media giant Shanda Group – said on Friday that it reached a film script agreement with the Chinese movie firm Seven Stars Films. Seven Stars Films, a movie production and investment firm owned by Chinese media entrepreneu r Bruno Wu, will link Cloudary’s literature with the world’s movie industry. Wu, who is married to popular TV host Yang Lan, founded Seven Star Films in 2012. The [...]

    Read more →
  • Breaking news China (mainland) film China’s movie market booms with local content

    China’s movie market booms with local content

    ( Agencies, 23 Aug, 2013) In “American Dreams in China”, Cheng Dongqing is giving a lecture in an abandoned factory in Beijing . Snow falls through the damaged roof and a power cut sends students reaching for their flashlights. The movie , about how young Chinese in the 1990s tried every means to learn English so they could study overseas, is part of a boom in domestic productions that is outpacing foreign film s at the box office in China. [...]

    Read more →
  • Breaking news China (mainland) film Fast forward with film

    Fast forward with film

    (China Daily, 23 Aug, 2013) In the past year, Chinese films have galloped ahead like a dark horse, beating Hollywood imports. It is hardly surprising that most of these domestic hits are comedies. Comedy is mostly local. When Hollywood sent scouts to recover the secret formula, many of them reported that these Chinese movies were not particularly funny. Of course not. When you translate every line into English, you have lost much of the fun, leaving only a few sight [...]

    Read more →
  • Breaking news China (mainland) Digital Mobile game firms looking abroad

    Mobile game firms looking abroad

    (China Daily, 21 Aug, 2013) Intensifying domestic competition is driving Chinese mobile game developers into overseas markets, said Google Inc, owner of the world’s most used smartphone operating system. Japan and South Korea may become “sizeable” money-spinners for developers in China in the coming years, it added. “Tapping into South Korea and Japan makes sense for Chinese developers, because both countries have a large smartphone user base and high sales volume in the mobile gaming sector,” said Ben Zhang, China [...]

    Read more →
  • Breaking news China (mainland) tv PPTV denies buyout rumors

    PPTV denies buyout rumors

    (, 14 Aug, 2013) Online video provider PPTV has denied rumors it will be jointly acquired by e-commerce giant Alibaba Group Holding Ltd and Hunan Satellite TV. “We have noticed related media reports. PPTV is operating independently, well, and we have nothing to announce at present,” PPTV told China Daily on Wednesday. A report from IT industry portal said on Wednesday that the prospective deal is almost closed, with the transaction reaching $400 million. It cited venture capital sources [...]

    Read more →
  • Breaking news China (mainland) film Film industry needs long tail to grow

    Film industry needs long tail to grow

    (China Daily, 15 Aug, 2013) The domestic film market registered record half-yearly box office returns of 10.9 billion yuan ($1.77 billion) in the first six months of this year, up 35 percent year-on-year, and there have been excited voices saying that the Chinese film industry is about to boom in the international market. However, box office success is just part of the industry’s chain, and without the further development of licensed movie merchandising, the Chinese film industry is still in [...]

    Read more →
  • Breaking news China (mainland) Digital New WeChat game becoming painfully popular

    New WeChat game becoming painfully popular

    (, 15 Aug, 2013) A new mobile phone game on WeChat, a social network app in China, is proving so popular that it’s causing hand injuries for many Chinese users. The game, which was recently introduced to WeChat’s 400 million subscribers, allows users to compete online with their friends in aircraft battles. Within two hours after the release of the game on Aug 5, there were more than 180 million downloads. But Zou Cheng, an orthopedic doctor at Hangzhou First [...]

    Read more →