The Stock Exchange of Thailand (SET) will list Chaosua Foods Industry pcl, a snack and processed meat manufacturer and distributor under “Chaosua” and “Wholesome” brands, on July 9, 2024 under the symbol “CHAO”. The company has a market capitalization at its initial public offering (IPO) of 3.54 billion baht (approx. USD 96.35 million).
SET executive vice president Amnouy Jiramahapoka said that CHAO will list and start trading on SET in the Agro & Food industry group, Food & Beverage sector.
CHAO manufactures and distributes snacks and processed meats. The company is committed to providing customers with delicious and meticulously prepared products using quality ingredients. CHAO’s products come in modern, easy-to-carry packaging designs for everyday consumption. Products under the “Chaosua” and “Wholesome” brands are sold through various channels covering different customer groups, comprising:
1) Modern trade,
2) Traditional trade,
3) Exports to overseas markets, and 4) Other channels.
The company offered 87.68 million IPO shares
CHAO has a registered capital of 304 million baht and a paid-up capital after IPO of 300 million baht, with 300 million issued
and paid-up shares at a par value of 1 baht per share. The company offered 87.68 million IPO shares, consisting of 40.74 million existing common shares
and 46.94 million newly issued shares, with the additional 4 million shares reserved for ESOP warrant conversion.
The IPO shares, sold during July 1-3, 2024, were price at 11.80 baht per share, raising 553.94 million baht in fresh capital and amounting to 1.03 billion baht in offering value. The IPO price was equivalent to the price-to-earnings (P/E) ratio of 20.86 times.
The earnings per share is equal to 0.57 baht which was calculate from the company’s net profit over the past 12 months at 169.68 million baht,
divided by fully diluted shares. Kasikorn Securities pcl is the financial advisor and lead underwriter.
IPO for expanding production capacity and enhancing efficiency
CHAO chief executive officer Napatr Morinstated that listing on the SET will bolster the company’s potential for continuous and sustainable growth. This milestone marks a pivotal step towards becoming a leading manufacturer and distributor of snacks and processed meat products. The funds raise from the IPO will be used to invest in expanding production capacity and enhancing production efficiency for future business growth.
CHAO’s major shareholders after IPO are Chaosua Group Holding Co., Ltd. (45.6 percent), Sugar Capital Pte. Ltd. (9.5%), and Thanapat Morin (2.9 %).
CHAO’s dividend policy is to pay shareholders not less than 40 % of net profit from its separate financial statements after corporate income taxes and all reserves required by law and the company’s Articles of Association.
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