Bangkok--Jun 7--PR Consultant
Mr.Sanan Eksangkul, President of Eason Paint Public Company Limited, one of the business leaders in the industrial paints such as motorcycle coatings,
plastic coatings, packaging coating, offset inks and others, said that the company plans the initial public offering (IPO) of its 60 million shares at the par value of 1 baht per share accounted for 30% of its 200 million baht registered capital. Currently, SEC has started to review its application with Globlex Advisory Company Limited as its financial advisor. It anticipates being listed in the Stock Exchange of Thailand and able to float its shares within 2005.
Most of the proceeds from this fund raising will be contributed to its plant expansion in Amata Nakorn Industrial Estate, Cholburi to support the increase in its existing production capacity as well as to add new production line and improve the efficiency of existing production line as all the space in the existing plant has been utilized. The budget for the new plant expansion is estimated at 180-210 million baht whereas the remaining of the proceeds will be used for short-term loan payment as well as its working capital.
The production expansion is to support its business growth as its existing customer base is the customers with continuous paint consumption namely
motorcycle part and auto part producers as well as packaging manufacturers.
Specifically, the motorcycle and auto industry has an average growth rate during 1999-2004 of over 20% in accordance with the overall paint industry
situation. It is expected that during 2005-2006, the market of auto paint will growth at the rate of over 10% per annum. So, the company has to prepare to cope with such growth as well as be ready to compete amidst Thailand free trade policy.
As for the company performance, about 70% of its revenue derived from the sales of motor cycle sprayed paint and plastic sprayed paint for auto industry. In 2004, its revenue totaled 599.60 million baht up by 18.87% from 2003 with net profit of 59.66 million baht. During the first quarter of 2005, the company earning totaled 167.28 million baht up by 9.27% from the same period in 2004 with net profit of 19.31 million baht. This attributed to its ability to maintain its product quality standard as required and accepted by the customers, the cooperation with its partners and continuous research and development.
Eason Paint Public Company Limited was incorporated in 1965 under the name of Si Esarn Product Company Limited by Eksangkul family with long term
experience and vision in industrial paint production industry. At present,
the company has been in operation for 40 years. It has cooperated the technology developers including BASF Coatings Japan, Origin Electric, Japan and Miki(Thailand) with domestics and overseas network of industrial paint users.
For more information, please contact
Lakana Khwan-ngam , Sujira Wirojana
PR Consultant 01-822-2363, 01-629-1821 End.