Bangkok--26 Jul--SET
The Stock Exchange of Thailand (SET) will list Firetrade Engineering pcl, a full range of fire extinguisher importer and distributor, on July 27, under the ticker symbol "FTE". The company has a market capitalization at its initial public offering (IPO) of THB 1.77 billion (approx. USD 52 million).
SET Senior Executive Vice President Santi Kiranand said that FTE would list on SET in the Services industry, Commerce sector. FTE is the importer and distributor of the full array of fire extinguishers, automatic fire suppression and fire alarming system, and also provides design, installation, maintenance and repair services for firefighting devices and related system both indoor and outdoor for high and low-rise buildings, as well as industrial plants.
FTE is a distributor of firefighting equipment and system from the world's leading manufacturers, consisting of over 9,000 items under over 30 international brands. It has a subsidiary named Fire Inspector Co., Ltd., an importer and authorized distributor of automatic firefighting system including services of three leading brands namely JANUS (automatic clean agent and gas fire suppression system), FFE (smoke detectors) and FIKE (clean agent fire suppression system).
FTE has a paid-up registered capital of THB 300 million, consisting of 450 million existing common shares and 150 million newly issued shares with a par value of THB 0.50 each. The company offered the newly issued shares to patrons of the underwriters and FTE during July 20-21 and 24, 2017, at THB 2.95 each for a total of THB 442.5 million. Asset Pro Management Co., Ltd. is the financial advisor and Finansia Syrus Securities pcl is the lead underwriter.
FTE Managing Director Taksin Tantipijit said that listing on SET would help boost confidence in the company's business, enhance image and strengthen financial position. The fund raised will be used to build a warehouse on approximately 10 rais of land (or 3.95 acres), instead of renting, for more efficient logistics system management. The company will also open sales & service offices in three major provinces: Rayong, Chiang Mai and Phuket where real estate business and related industries are growing with high demand on fire extinguishing devices. As such, the products and services will be more accessible to the target consumers.
FTE's three major shareholders after the IPO are Taksin's group (64.27 percent), Banpote Chamroonroj (7.34 percent) and Suebphong Phiriyadamrongwutthi (1.84 percent). The IPO price is equivalent to price-to-earnings (P/E) ratio of 18.15 times, calculated by using the company's net profit of THB 97.51 million in the past 12 months (April 1, 2016 to March 31, 2017), divided by fully diluted shares, representing earnings per share of THB 0.16. FTE's dividend policy is to pay no less than 40 percent of net profit, based on the company's separate financial statement, after all 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.firetrade.co.th and www.set.or.th.