Thailand’s leading lubricant producer, PSP Specialties Plc, is preparing for an preliminary public offering (IPO) to boost its business development. The firm plans to supply 350 million shares, roughly 25% of its whole shares, on the Stock Exchange of Thailand. The price per share is yet to be decided, with a roadshow within the works to advertise the company.
CGS CIMB Securities (Thailand) is dealing with the underwriting process for the itemizing. The CEO of PSP Specialties, Sint Krongphanich, said that part of the funds raised via the PSP Specialties IPO could be used to repay debt incurred following the acquisition of UC Marketing Co, a distributor and seller of raw supplies and items. Additionally, funds shall be allotted to short-term debt funds and enhancing the company’s manufacturing effectivity.
PSP Specialties’ IPO remaining budget will function working capital. The company’s annual manufacturing capacity consists of 212 million litres of lubricant, 27,500 tonnes of grease, 44 million litres of rubber course of oil, and 25 million litres of transformer oil. Located in Samut Sakhon province near the Tha Chin River, PSP Specialties also operates a manufacturing unit within the Thilawa Special Economic Zone on the outskirts of Myanmar’s capital, Yangon.
According to PSP Specialties IPO, more than 95% of its revenue stems from producing and promoting uncooked materials like lube oil and grease. The remaining 5% is generated from growing lube oil products and offering logistics services. In Studies show , the corporate famous a 22% revenue increase, reaching thirteen.2 billion baht from 10.7 billion baht in 2021 and 6.9 billion baht in 2020. The first quarter of this yr noticed a further 0.4% improve in revenue, amounting to 3.08 billion baht, stories Bangkok Post.
Sint Krongphanich talked about that the corporate aims to give consideration to lube oil resolution services and maintain its position as an original gear manufacturer. Rather than creating a new model to market lube oil, PSP Specialties wants to avoid competing with its current clients..