Sakol Energy Plc.(“SKE”) set IPO at 1.80 baht Raising over 400 MB to expand its Energy Businesses

Sakol Energy Public Company Limited (“SKE” or the “Company”), one of Thailand's largest NGV Private Mother Station operators offers its IPO shares at 1.80 baht, raising over 400 Million baht in listing its shares in the Stock Exchange of Thailand.

Mr. Chutchai Sumethchotimetha, Chief Executive Officer of Sakol Energy Public Company Limited or " SKE " reveals that “ The Company is pleased to offer its 237,200,000 IPO shares or 25.51% of its total registered shares, at 1.80 baht per share (at 0.50 baht par value). We will receive a total of 426.96 Million baht from this fund raising which we plan to use to expand its existing business by improving and enhancing operating efficiency as well as continue its current business. The plan is to invest in the improvement of the efficiency of the compressed natural gas (NGV) system and to invest in NGV conventional gas station along the Ex-pipeline, to repay debts to financial institutions and for working capital for the Company.”

Its registered capital is 465.00 million baht and its paid-up capital is 346.40 million baht. After the IPO, the existing shareholders; consisting of Sumethchotimetha family and Nuntee family, will hold a combined 74.49% and the investors will hold 25.51%.”

Sakol Energy Public Company Limited or " SKE "  is one of Thailand's leading Private Mother Station (PMS) operators. The Company provides full service in improving natural gas quality to meet the regulators standards, compressing gas and filling to the trucks provided by PTT Group. These PTT Trucks will distribute NGV to the daughter Gas Stations, located outside of the Gas pipelines. We have signed a long-term 20-year contract with the PTT Group to operate 2 PMS Stations. 1.) Pathum Thani Private Mother Station, Located in Samkok district, Pathum Thani. This PMS accommodates NGV gas demand in the metropolitan area, with initial compressed natural gas capacity and reserves around 250 tons/day. Later, the Company has entered into an additional agreement with the PTT Group to expand the capacity up to 350 tons/day. 2.) Saraburi Private Mother Station, Located in Kaeng Khoi district, Saraburi. This PMS supports the demand for natural gas NGV in the Northeast region, with a maximum capacity of 400 tons/day. Therefore, in total, the company has a combined capacity of 750 tons per day or 273,750 tons/year.

Mr. Chaipatr Srivisarvacha Chief Executive Officer, KT ZMICO Securities Co., Ltd., a financial advisor, said, “ “SKE” IPO Shares have attracted strong interest from both institutional and retail investors. The reasons are SKE has strong business fundamental, owning 2 of 4 Private Mother Station, its Management Team also has strong capability and expertise in the Energy and Transport businesses. In addition, the Company has achieved both strong performance and financial results. The Company has determination to expand its energy business to become 1 of Leading Energy Groups by investing in its related business such as NGV Conventional Station along the gas pipeline, a plan developed by the PTT Group. Its IPO price of 1.80 baht offers a 25.62% discount to investors, compared to the average targeted prices by stock analysts. Investors can book the SKE IPO shares at KT Seamico Securities Co., Ltd, which is the Lead Underwriter and 3  Co-Underwriters, namely, AEC Securities Plc., Globlex Securities Co., Ltd. and RHB Securities Co., Ltd., from November 14-16, 2017.  

Sakol Energy Public Company Limited or " SKE “has  achieved a solid and growing financial performance. In 2016, the company's revenues were 414 million baht, up from 363 million baht revenues in 2015 and 297 million baht revenues in 2014. The Company's net profit were 128 million baht in 2016, increased from the net profit of 117 million baht in 2015 and net profit of 110 million baht in 2014. The Company has achieved the net profit margin of 30.80%in 2016, 32.10% in 2015 and 37.07% in 2014 respectively. For the nine-month period ending September 30, 2017, the Company still has strong revenues, though, less than in the same period last year. The Company maintained the minimum gas distribution as contracted with the PTT group. In addition, the Company plans to expand in related businesses to continuously grow its revenues.