Suntory Beverage & Food Ltd. is a soft drink manufacturer from Japan. This year the company raised almost US$4 billion making it the biggest public offering in Asia. Today, it started trading with some investors drawing back to what they said is a pricey offered deal.
Osaka based Suntory, set the offer price for its soft drink arm at Y3100 per share piece last week. The said offer raised Y388 billion to fund mergers and acquisitions.
Takasahi Aoki, a Tokyo based fund manager at Mizuho Asset Management Co said that investing in the current offered price is undeniably expensive.
Suntory Beverage made its debut after Asian markets tumbled on fears of a China slowdown. This prompted companies from Hopewell Hong Kong Properties Ltd to Macau Legend Development to scrap their IPOs or cut the size of their offerings.
In 2012, Suntory had 20% of the market share in Japan making it ranked second to Coca Cola with 28% market share.
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