Bangkok--28 Nov--SET Corporate Communications
Market for Alternative Investment (mai) will list STC Concrete Product pcl (STC), a concrete product manufacturer and distributor in the eastern region of Thailand, on November 29, under the ticker symbol "STC", with a market capitalization at its initial public offering (IPO) of THB 568 million (approx. USD 19 million).
mai President Prapan Charoenprawatt said that STC would list and start trading on mai in Property & Construction industry group.
STC produces and distributes pre-cast and ready-mixed concrete products under "STC" brand and provides a full range of concrete-related services, spanning from pile installation to ready-mixed concrete delivery. STC's customers are building contractors, real estate developers, and building material distributors. Operating four plants in Chonburi province, STC's products which are reinforced concrete pipes, precast prestressed concrete pipe, precast prestressed concrete slabs, and lightweight bricks, have been certified by Thai Industrial Standards Institute (TISI).
STC has a registered paid-up capital of THB 284 million, consisting of 420 million existing common shares and 148 million newly issued shares, with a par value of THB 0.50 each. It offered the entire newly issued shares through IPO at THB 1.00 each, for a total of THB 148 million, during November 20-22, 2019. The IPO price was equivalent to price-to-earnings ratio (P/E ratio) of 20.41 times, calculated by using the company's net profit in the past 12 months (October 1, 2018 - September 30, 2019) of THB 27.77 million, divided by 568 million fully diluted shares, representing earnings per share of THB 0.049. KTB Securities (Thailand) pcl is its financial advisor and lead underwriter.
STC Managing Director Ekachai Chaitrakulthong said the company aims to become a concrete manufacturing and distributing leader in the eastern part of Thailand. Prioritizing on quality products and services, while having a variety of products to match all customer needs, including on-time delivery, the company has continuously been recognized and gained trust from customers. The fund raised will be used for debt repayment and/or as working capital. After IPO, Chaitrakulthong's family is STC's major shareholder at 73.9 percent. STC's dividend policy is to pay no less than 40 percent of net profit after corporate income tax, and legal reserves.
For more information on STC, 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.stc.co.th and www.set.or.th.