Bangkok--21 Mar--SET
Market for Alternative Investment (mai) will list Chayo Group pcl, a debt collection and non-performing asset (NPA) management service provider, on March 22, under the ticker symbol "CHAYO". The company has a market capitalization at its initial public offering (IPO) of THB 1.61 billion (approx. USD 50.4 million).
mai President Prapan Charoenprawatt said that CHAYO would list and start trading on mai in the Financials industry group. CHAYO's core business covers three areas: 1) Debt collection service: The company provides debt collection services, as required by client according to the terms of reference for contracts under related laws, regulations and ACTs, for example credit card loans, personal loans and utilities debt; 2) Non-performing asset management: The company purchases both secured and unsecured non-performing assets via the auctions of both financial Institutions and non- financial Institutions; 3) Call center service.
CHAYO has a paid-up registered capital of THB 280 million, consisting of 420 million existing common shares and 140 million newly issued shares, with a par value of THB 0.50 each. The entire newly issued shares were offered to general public via IPO at THB 2.88 each, for a total of THB 403.20 million, during March 7-9, 2018. AEC Securities pcl is its financial advisor and lead underwriter.
CHAYO Chief Executive Officer Suksan Yasasin said that CHAYO has over 20 years of experience in debt collection services before expanding to non-performing asset management business at a later stage. Listing on mai would capitalize opportunities to acquire non-performing assets consisting of both secured and unsecured types, to carry out loan repayment to financial institutions, and as working capital.
CHAYO's three major shareholders after the IPO are Yasasin Family (71.31 percent), Munnithiworakul Family (2.14 percent) and Chamwuthipreecha Family (1.25 percent). The IPO price was equivalent to price-to-earnings (P/E) ratio of 27.69 times calculated by using the company's net profit in the past 12 months (January 1- December 31, 2017) totaling THB 58.24 million divided by fully diluted shares, representing earnings per share of THB 0.104. CHAYO's dividend policy is to pay no less than 40 percent of net profit from the company's separate financial statements, after legal reserves.
For more information, please see the company's prospectus at the Securities and Exchange
Commission's website at www.sec.or.th; and for general information, please visit www.chayo555.com , as well as www.set.or.th .