Kumwel lists on mai
The Market for Alternative Investment (mai) will today list Kumwell Corporation, a leading manufacturer and distributor of grounding and lightning protection systems, under the ticker symbol "KUMWEL".
The company has a market capitalization at its initial public offering (IPO) of Bt473 million (approximately US$15.3 million).
mai President Prapan Charoenprawatt said that KUMWEL would start trading on mai in the Industrials industry group.
KUMWEL and subsidiaries manufacture and distribute grounding system, lightning protection system, surge protection system, and lightning detection & warning system products compliant with international standards for the stability and safety of the electrical system in infrastructure for customers in various businesses including electricity authorities, transportation, telecommunication, industrial, real estate, and military security sectors.
Currently, KUMWEL provides a line of more than 2,500 items. The company has a registered paid-up capital of Bt215 million, consisting of 300 million existing common shares and 130 million newly issued shares, with a par value of Bt0.50 each.
From July 24 to 26, 2019, it offered newly issued shares to the general public via IPO at Bt1.10 each, for a total of Bt143 million.
The IPO price was equivalent to price-to-earnings (P/E) ratio of 17.94 times, calculated by using the company's net profit in the past 12 months (April 1, 2018 - March 31, 2019) amounting to Bt26.36 million, divided by 430 million fully diluted shares. Asset Pro Management Co Ltd is its financial advisor and Phillip Securities (Thailand) is its lead underwriter.
KUMWEL chief executive Boonsak Kiatjaroonlert said that the company places importance on new product research and development, as well as quality control. It has gained trust from both domestic and international clients. The products have been in accordance with the international standards in terms of design, testing and installation, such as UL standard certified by Underwriters Laboratories Inc., USA; IEC standard by KEMA Quality from DEKRA, the Netherlands; and Verband Dutscher Klekrotechniker or VDE from Germany, among others. The fund raised would be used for factory construction, factory maintenance, new product research and development, product-testing room renovation and development, and as working capital.
KUMWEL's major shareholder after IPO is Kiatjaroonlert family (64.64 per cent). KUMWEL's dividend policy is to pay no less than 40 percent of net profit after corporate income tax and legal reserves.
