Ingress Corp’s Thai unit to raise RM44.7mil via IPO
KUALA LUMPUR: Ingress Corp Bhd’s (ICB) wholly-owned subsidiary, Ingress Industrial (Thailand) PCL, aims to raise 347.88 million baht (RM44.68mil) from its initial public offering (IPO) of 578.44 million shares, scheduled for August.

The automotive component manufacturer is offering 1.33 baht (1 baht= RM0.13) per share (par value of one baht) to public investors.

Maybank Kim Eng Securities (Thailand) Co Ltd Plc executive vice-president Wantana Petchlerkwong said the IPO price offered a good discount from the target prices set by analysts, who expected the company to show a strong positive growth this year and the next two years.

“We believe that Ingress Industrial’s IPO at 1.33 baht is very attractive to investors. (The company) is a tier-1 Asian auto part makers and has a large customer base in four countries.

“Therefore, it has better risk management than most of its peers, which operate mainly in Thailand,” she said in a statement on Thursday.

Ingress Corp will be the first Asean auto-parts maker to be listed on the Stock Exchange of Thailand, with Maybank Kim Eng serving as the financial advisor and lead underwriter to the IPO exercise.

The IPO accounts for 40% of the total company’s shares, of which proceeds from the exercise will mostly be for investment in new projects to support its customers’ orders and also for paring down commercial borrowings of the group, as well as for additional working capital.

With a registered capital of 1.45 billion baht, Ingress Industrial generated a total revenue of 2.92 billion baht and net profit before minority interest of 210.4 million baht for the financial year ended Jan 31, 2017, a 19% increase from 177 million baht a year ago.

The group expects to benefit from improved sentiment in Asean, as well as the introduction of new products into the market.

Ingress Industrial has a 40% dividend payout policy of net profit after income tax and after the allotment of legal reserve. - Bernama