KTBST Expects European’s “Digital Green Pass” to Drive MINT, Recomm. “BUY” at Bt36

KTBST Expects European’s “Digital Green Pass” to Drive MINT, Recomm. “BUY” at Bt36.

KTB Securities (Thailand) (KTBST) has given a “BUY” recommendation on Minor International Public Company Limited (MINT) with a target price of ฿36.00/share as the European Union is expecting to introduce Digital Green Pass for border reopening.


The European Commission proposed Digital Green Pass that will facilitate travel for EU citizens once border controls ease. The aim of the EU-wide digital certificate called “Digital Green Pass” is to provide proof that the travelling person has been vaccinated; results of COVID-19 testing and information on the pandemic and the path to recovery. The new measure is expected to be implemented on March 17, 2021.


KTBST saw the measure as a positive factor to MINT due to the hotel business in Europe contributing as much as 60% to its revenue. Moreover, MINT has a fast recovery in RevPar, showing a -64% YoY in August vs. -99% YoY in April. The lockdown relaxation and vaccine jabs will have a direct positive impact on MINT.

The target price at Bt36 is based on DCF (WACC 7% and terminal growth 2.5%). KTBST expected MINT to “Outperform” from more travellers within European countries and European arrivals in Thailand. Meanwhile, MINT’s valuation is still less expensive than its peers, having an EV/EBITDA at 14x (-1.0SD below 10-yr average EV/EBITDA), compared to ERW and CENTEL at -0.5SD.