PSP Specialties plans IPO on Thai stock exchange for development boost

Thailand’s leading lubricant producer, PSP Specialties Plc, is preparing for an preliminary public offering (IPO) to boost its enterprise development. The company plans to supply 350 million shares, approximately 25% of its complete 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 handling the underwriting course of for the listing. The CEO of PSP Specialties, Sint Krongphanich, stated that a part of the funds raised by way of the PSP Specialties IPO can be used to repay debt incurred following the acquisition of UC Marketing Co, a distributor and seller of raw supplies and goods. Additionally, funds shall be allocated to short-term debt funds and enhancing the company’s production effectivity.
PSP Specialties’ IPO remaining budget will function working capital. The company’s annual production capability 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 close to the Tha Chin River, PSP Specialties also operates a manufacturing facility 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 selling raw materials like lube oil and grease. The remaining 5% is generated from creating lube oil products and offering logistics providers. In the previous 12 months, 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 year saw an extra zero.4% enhance in revenue, amounting to three.08 billion baht, reviews Bangkok Post.
Sint Krongphanich mentioned that the corporate aims to focus on lube oil solution providers and keep its position as an unique gear manufacturer. Rather than creating Shocking to market lube oil, PSP Specialties wants to keep away from competing with its present clients..

Leave a Comment