CEO, A. Stotz Investment Research

Dr. Andrew Stotz, CFA

Quantamental Investing to beat Benchmarks

A. Stotz Investment Research

We pick stocks. We construct portfolios. All our effort is focused on how to better pick stocks and construct portfolios. We serve fund management companies, family offices, and high net worth individuals.

Thematic (Sector/Industry)

<ul>
<li>We highlight 14 stocks in Thailand that look interesting to us based on our FVMR Methodology</li>
<li>Portfolio changes: 10 stocks remain, four new join the fray</li>
<li>Since inception, it has gained 115% versus the SET 100 Index’s return of 31%</li>
</ul>


We highlight 14 stocks in Thailand that look interesting to us based on our FVMR Methodology
Portfolio changes: 10 stocks remain, four new join the fray
Since inception, it has gained 115% versus the SET 100 Index’s return of 31%


The Stocks to Own in Thailand – Vol. 41

Asean-focused. Ex-Head of Thai Research

Athaporn Arayasantiparb, CFA

Asean (Thailand) Focused Independent Research

M Corp Review

M Corp is led by Athaporn Arayasantiparb who served as Head of Research for UOB and ANZ in Thailand and was an award-winning telecoms analyst at UBS in 2010 (AsiaMoney Thailand category) and Regional Strategist for DMG in Singapore. Prior to that, he also served as Kasikornbank credit analyst and scholar. He has a total work experience of 17 years, of which 14 were in research and 4 in research management roles. He started his career as an engineer for PTT and currently manages family investments. He holds an MBA from Stern (NYU) and CFA Charter since 2006. Apart from IPO Radar, which focuses on future listings, MCorp Review also provides six on-going thematic series ranked by frequency in descending order, namely: 1) Silicon Stories (technology) 2) Sathorn Series (financial services) 3) Thai-Coons (billionaire origin stories) 4) Reality Check (data-driven, investigative) 5) Thai Media Spotlight; and 6) Thai Macro Watch (global market drivers).

Equity Capital Markets

Srinanaporn Marketing Public Company Limited / Equity Capital Markets

Srinanaporn Marketing Public Company Limited

SCB is Financial Advisor to SNNP (Srinanaporn) for their IPO. The company is responsible for snacks such as jelly under the Jele brand, Bento squid sticks, and Lotus bread sticks. The tricky thing is that Thai regulators are starting to get strict on snacks with high sugar and salt content. Here's a quick run-down on what's important:<ul>
<li>
The IPO is good for 260m shares (28.9% of outstanding), and the family will continue to control over 70% after the IPO.</li>
<li>
Business andgrowth. The company is a market leader in jelly, and its coconut drink is the fastest growing segement (12.4% CAGR) according to Frost &amp; Sullivan. They appear to be doing even better in CMLV region, where growth rate exceeds Thailand (17% in Vietnam!) We beleive this trend of declining Thai market share and strong overseas growth will continue.</li>
<li>
Valuation. We primarily value SNNP at Bt7.6/sh using DCF valuation, so we will consider participating in the IPO if the eventual price comes in below this level. We prefer this to the Bt8.2/sh price target derived from relative valuation as there are only two good peers.</li>
<li>
Risks. We highlighted 9 different risks in the attached report. In particular, the top three that concerns us most is: 1) tax &amp; regulatory vigilance on snacks primarily on health-related issues; 2) the company's high leverage; and 3) competitive risks.</li>
</ul>

SCB is Financial Advisor to SNNP (Srinanaporn) for their IPO. The company is responsible for snacks such as jelly under the Jele brand, Bento squid sticks, and Lotus bread sticks. The tricky thing is that Thai regulators are starting to get strict on snacks with high sugar and salt content. Here's a quick run-down on what's important:

The IPO is good for 260m shares (28.9% of outstanding), and the family will continue to control over 70% after the IPO.

Business andgrowth. The company is a market leader in jelly, and its coconut drink is the fastest growing segement (12.4% CAGR) according to Frost &amp; Sullivan. They appear to be doing even better in CMLV region, where growth rate exceeds Thailand (17% in Vietnam!) We beleive this trend of declining Thai market share and strong overseas growth will continue.

Valuation. We primarily value SNNP at Bt7.6/sh using DCF valuation, so we will consider participating in the IPO if the eventual price comes in below this level. We prefer this to the Bt8.2/sh price target derived from relative valuation as there are only two good peers.

Risks. We highlighted 9 different risks in the attached report. In particular, the top three that concerns us most is: 1) tax &amp; regulatory vigilance on snacks primarily on health-related issues; 2) the company's high leverage; and 3) competitive risks.


IPO Radar: Srinanaporn, Thailand's Leader in Jelly and Cuttlefish Snacks

Thailand

Srinanaporn Marketing Public Company Limited operates as a food manufacturing company. The Company offers snack such as jelly, fruit juice, fish, squid, herb drinks. Srinanaporn Marketing serves customers worldwide.

Srinanaporn Marketing Public Company Limited (SNNP TB)

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Srinanaporn Marketing Public Company Limited (SNNP TB)

The Stocks to Own in Thailand – Vol. 41

We highlight 14 stocks in Thailand that look interesting to us based on our FVMR Methodology. Since inception, it has gained 115% versus the SET...

A. Stotz Investment Research

IPO Radar: Srinanaporn, Thailand's Leader in Jelly and Cuttlefish Snacks

SCB is Financial Advisor to SNNP (Srinanaporn) for their IPO. The company is responsible for snacks such as jelly under the Jele brand, Bento squid...

Athaporn Arayasantiparb, CFA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)