HONG KONGâ€" Astro Malaysia, the pay television operator controlled by the Malaysian billionaire Ananda Krishnan, raised 4.55 billion ringgit, or $1.5 billion, in a Kuala Lumpur share sale on Thursday after pricing its offering at the top of the range.
Malaysia has emerged as a surprise home to one of the biggest markets for initial public offerings this year, as investors' appetite for new share sales in the traditional Asian financial centers of Hong Kong and Singapore - as well as in New York and London - has continued to slump.
Three of Asia's four biggest I.P.O.s this year have been in Kuala Lumpur, and those companies' shares have continued to trade comfortably above their offer prices. That is in sharp contrast to Japan Airlines, which staged Asia's biggest share sale this year, and whose stock is down 3.4 percent from its trading debut in Tokyo last month. Shares in Facebook, the world's biggest I.P.O. this year, are down more than 40 percent from thei r offering price.
The Malaysian offerings have generally been bolstered by a large proportion of shares being sold to so-called cornerstone investors - large institutions and wealthy individuals who pre-commit to purchase sizeable stakes and to hold them for a fixed period of time, typically three or six months. At the same time, strong demand from state and local governments and pension funds within Malaysia has also been a supporting factor.
Mr. Krishnan, who privatized Astro in 2010 at a valuation of 8.3 billion ringgit, has subsequently restructured the TV company and is selling down part of his stake as he brings it back to market at a valuation of 15.6 billion ringgit. Astro is selling new shares at 3 ringgit apiece to raise 1.42 billion ringgit for general working capital and to repay debt. Controlling shareholders including Mr. Krishnan are selling existing shares worth 3.13 billion ringgit.
Astro's is the third biggest I.P.O. in Malaysia this year. In June, the palm oil producer Felda Global Ventures raised $3.1 billion in a share sale, while IHH Healthcare, one of Asia's biggest hospital operators, raised $2 billion in a July offering.
CIMB, Maybank and RHB were the joint principal advisers and global coordinators of the offering, while Credit Suisse, Goldman Sachs, J.P. Morgan and UBS also acted as joint coordinators.
