SET Overhauls IPO Rules, Opening the Door for 10 New Economy Industries to Raise Capital
RegulationIndustry
The Stock Exchange of Thailand and the Market for Alternative Investment have announced revised criteria for listing ordinary shares covering 10 target industries, or the New Economy, effective officially as of September 11, 2026. It marks a major structural reform of the Thai stock market, aimed at making it easier for high-potential technology companies and foreign companies to raise capital, rather than focusing on past revenue. Asadej Kongsiri, director and manager of the Stock Exchange of Thailand, said the revision is part of a three-year strategic plan for 2026 to 2028 under the vision "The Trusted Gateway to Inclusive Opportunities." Under the new criteria for the New Economy group, the minimum market capitalisation in the normal case on the SET has been lowered to no less than 5 billion baht, from 7.5 billion baht previously, and on the mai to no less than 1.5 billion baht, from 2 billion baht. The required track record of operating revenue on the SET has also been cut to the past two years. Meanwhile, the Special Track channel in cooperation with the BOI, for companies receiving investment promotion, will lower the minimum market cap threshold to no less than 3 billion baht for the SET and no less than 1 billion baht for the mai, requiring a revenue track record of only at least one year. The conditions have also been adjusted so that revenue from New Economy businesses must be the main revenue in the most recent year, at a proportion of no less than 30% of total operating revenue, replacing the previous requirement of as much as 50% or 5 billion baht for companies on the SET. As for foreign companies that already raise funds and are listed on overseas exchanges, they can use the Secondary Listing criteria, with relaxed rules for companies listed in Unrecognized Countries or on exchanges not on the list of countries recognised by the SEC. The proportion of shares offered in an IPO in Thailand is reduced to requiring only a market cap of no less than 300 million baht, or no less than 5% of paid-up capital after the IPO, whichever is lower. As for the silent period prohibiting share sales after listing, management participants are barred from selling all 100% of the shares they hold after the IPO, in a combined proportion of no less than 30% of paid-up capital, but the lock-up period has been eased for companies that are not yet profitable to only two years, from three years previously, and they are allowed to gradually sell 25% every six months. Asadej confirmed that this revision does not lower risk-screening standards, since companies receiving BOI promotion have already passed a certain level of quality scrutiny, and the SEC still strictly supervises financial statements and related-party transaction audits. The process stems from cooperation among the stock exchange, the SEC and the BOI, with the SEC currently considering ways to speed up IPO approval procedures, targeting a reduction in the review time for filings to about 100 days, or roughly three to four months.
