Bangkok--Dec 19--SET
Steel Intertech Pcl., a manufacturer and distributor of high-quality roll-formed metal sheets, will be listed on Thailand’s Market for Alternative Investment (mai) to improve its potential and competitiveness.
Steel Intertech Pcl. will be listed on December 20, 2005, using “STEEL” as its trading symbol.
“STEEL is the 34th listings on the mai. The company has high growth potential, as it is an important sub-contracting firm in the metal sheets cladding industry. Being on the mai will boost its competitiveness by permitting it to gain access to a low-cost funding source and pay only 20% corporate tax rate throughout the next five accounting years,” Mr. Vichate Tantiwanich, President of the mai, said.
STEEL has THB50 million (approx. USD1.22 mln.) worth of paid-up capital. This is comprised of an existing 35 million shares plus an additional 15 million shares in capital increase, each with a par value of THB1.00. During the company’s initial public offering (IPO) on Dec. 8 - 9, 2005, STEEL sold its capital increase shares to the general public at THB2.90 per share. Globlex Advisory Securities Co., Ltd. acted as its financial advisor.
STEEL’s IPO price is equal to 7.58 times of its price-earning (P/E) ratio (earning per share data from 2004). This represents a 9.92% discount from the average P/E ratio of the Construction Materials Sector of 8.41 times (data from Jan. 4 - Nov. 21).
STEEL manufactures and distributes metal sheets cladding under the “ROLLFORM” brand. Its products are materials for roofs, walls, ceilings, awnings and louvers. With its high quality standards, some product lines have up to 30 year warranties.
STEEL will use the net proceeds of about THB40 million from its fundraising to purchase new roll-forming and high-strength purlin machinery, expand its factory area, repay its debt and use as working capital.
STEEL’s dividend payment policy is to pay out no less than 40% of net profits. After its IPO, its principal shareholders are the members of the Ounvorawong family, who hold 51.20% of the company’s paid-up capital.
For more information on Steel Intertech Pcl., please visit www.steelintertech.com, www.mai.or.th, or www.settrade.com
For more information, please contact the Corporate Communications Dept.:
Ladawan Kantawong Tel: 0-2229-2036
Kulvida Jintakawong Tel: 0-2229-2037
Nattaporn Boonprapa Tel: 0-2229-2049
Watsamon Saowakhonsathien End.