SET News :mai to list specialty chemicals distributor “Megachem” on February 23

BANGKOK, February 22, 2017 – Market for Alternative Investment (mai) will list

Megachem (Thailand) pcl, a distributor of specialty chemicals, on February 23,

under the ticker symbol “MGT”. The company has a market capitalization at its

initial public offering (IPO) of THB 756 million (approximately USD 21.6


mai President Prapan Charoenprawatt said that MGT would list and start trading

on mai in the Industrials industry group. MGT distributes a wide range of

specialty chemicals for over 1,000 products from more than 400

makers/distributors to cover customers in many industries such as

polymerization, paint, and metal finishing industries, and others. The company

has an associate company, Vertis Latex Co., Ltd which is a latex pillow and

mattress producer, an original equipment manufacturer or OEM company catering to

various customers.

MGT has a paid-up registered capital of THB 200 million, consisting of 300

million existing common shares and 100 million newly issued shares with a par

value of THB 0.50. During February 15-17, it offered newly issued shares to the

general public via IPO at THB 1.89 each, for a total of THB 189 million. Capital

Nomura Securities pcl is the financial advisor and underwriter.

MGT Chief Executive Officer Vitthaya Inala said that the company sells the

specialty chemicals used as additives in industrial processes and can meet

customers’ demand in both features and prices. MGT also provides ordering

services of specialty chemicals services and logistic services to match each

customer’s requirements. The fund raised would be used to set up branches in

Cambodia, Myanmar and Thailand, and as working capital to fulfill the company’s


MGT’s three major shareholders after the IPO are Vitthaya Inala (37.68 percent),

SGX-listed Megachem Limited (36.19 percent) and Akechonsith Woraharn by KTB

Securities (Thailand) Co., Ltd. (1.25 percent). The IPO price was equivalent to

price-to-earnings ratio (P/E ratio) of 23.86 times calculated by using the

company’s net profit in the past four quarters (October 1, 2015-September 30,

2016) of THB 31.69 million, divided by fully diluted shares, representing

earnings per share of THB 0.08. MGT’s dividend policy is to pay no less than 40

percent of net profits after taxes and reserves.

For more information on MGT, please see the company’s prospectus at the

Securities and Exchange Commission’s website at; and general


Source: The Stock Exchange of Thailand

Post Author: tmadmin