SET welcomes holding company “TEGH” on September 30

BANGKOK, The Stock Exchange of Thailand (SET) will list

Thai Eastern Group Holdings pcl, a holding company with three core  businesses:

1) natural rubber production and distribution, 2) crude palm oil production and

distribution, and 3) renewable energy and organic waste management, on September

30, under the ticker symbol “TEGH”. The company has a market capitalization at

its initial public offering (IPO) of THB 5.18 billion (approx. USD 138.73



SET Senior Executive Vice President Manpong Senanarong said that TEGH would list

and start trading on SET in the Agro & Food industry group, Agribusiness



TEGH’s major revenue, approximately 80 percent, derives from natural rubber

manufacturing and distribution business, which divides into two main products,

namely block rubber and concentrated latex, sold to both domestic and

international manufacturers in a variety of industries, such as the tire,

footwear and elastic yarns. TEGH also owns the business that produces and sells

crude palm oil to be used as raw materials in continuous industries such as

cooking oil, food ingredients, butter, and non-dairy creamer. Moreover, TEGH has

the business relating to renewable energy and management of organic residues

from the production process to produce renewable energy, to create a green

economy that can mitigate impact on the environment while generating stable

income for the group of companies.


TEGH has a registered paid-up capital of THB 1.08 billion, consisting of 810

million existing common shares and 270 million newly issued shares, with a par

value of THB 1 each. It offered the newly issued shares to the general public

during September 21-23 at THB 4.80 each, for a total of THB 1.30 billion. The

IPO price was equivalent to the price-to-earnings ratio (P/E ratio) of 7.7

times. The earnings per share (fully diluted EPS) is equal to THB 0.60, which

was calculated from the company’s net profit of THB 671.8 million in the past

four quarters (from Q3/2021 to Q2/2022), divided by fully diluted shares.

Kasikorn Securities pcl and Trinity Securities Co., Ltd. are its financial

advisors and lead underwriters.


TEGH Chief Executive Officer Chalerm Koknutaporn said that the company has been

in the business for over 30 years and managed by experienced executives with

long-time expertise in the business. Currently, the company is one of the

leaders in the production and distribution of natural rubber, a major producer

and distributor of crude palm oil and a large biogas energy manufacturer in the

Eastern Economic Corridor (EEC) area. The listing on SET will strengthen the

company’s competitive edge and financial position, both in terms of lower

financial costs and higher confidence among partners. Proceeds from the

fundraising will be used to enhance the company’s capabilities as an investment

to expand production capacity, improve operational efficiency, repay loans to

financial institutions, and as working capital.


The company’s dividend policy is to pay no less than 40 percent of net profit

from the company’s separate financial statement after tax and all types of legal

reserves. However, the dividend payment is subject to change based on the

company’s operating results, financial position, liquidity, business expansion

plan, other necessities and appropriateness in the future, including other

related factors.


Source: Stock Exchange of Thailand

Post Author: web Desk