Mr. Paiboon Nalinthrangkurn, chief executive of TISCO Securities, as Financial Advisor, revealed that the Office of Securities Exchange Commission (SEC) has started cooling off period for the filing submitted by Synergetic Auto Performance Plc in offering an initial public offering, or an IPO, of 210m newly issued ordinary shares. This represents as 31.82% of the company's post-IPO issued and paid-up capital.
Currently, the company's registered capital stands at THB 330m, and the issued and paid-up capital THB 225m, represented by 450m shares with a par value of THB 0.50 each. The IPO would raise the number of shares by 210m. The company provides total solution car rental services that aim to serve customer needs. Using the brand 'asap', it offers three service segments: self-driven long-term car rental service (operating lease), self-driven short-term car rental service, and chauffeur-driven car rental service (limousine).
In addition, the company is a professional Thai car rental service provider who is highly trusted by customers. With its extensive experience of more than 11 years, specialization, as well as excellent quality of service, the company's performance for a period of 9 months ended 30 Sep 2016 featured a total revenue of THB 1.04bn, THB 786.24m (75.92%) of which was contributed by car rental service revenue and the remainder of which by the revenue from sale of used cars and other revenues. In the car rental service business, self-drive long-term car rental service is the top-grossing segment (96.85%), followed by chauffeur-driven car rental service (1.70%) and self-drive short-term car rental service (1.45%), respectively.
The funds will be used to finance construction of 'asap Auto Park', an automobile service centre, in Bangna-Trad area, close to Suvarnabhumi airport, and to finance business expansion by increasing number of cars for both long-term car rental service and short-term car rental service in order to respond to customers' demands and tap opportunities from the booming long-term and short-term car rental business.
Mr. Songvit Titipunya, asap chief executive, noted that the company has been in operation for more than 11 years, beginning its business by offering self-driven long-term car rental service (operating lease), including fleet procurement, fleet tailored modification, fleet maintenance, replacement cars and other related services, mainly under four to five-years contract, to corporate customers. As of 30 Sep 2016, its fleet for self-driven long-term car rental service is comprised of 6,106 cars, with a total of 7,360 cars in portfolio.
In late 2015, recognizing the opportunity posed by the demands from existing customers and seeking to win new customers, the company entered a new field, supplying cars for general use by corporate and individual customers in short-term rental arrangements. It now maintains service counters at six airports: Phuket, Chiang Mai, Chiang Rai, Don Mueang, Hat Yai and Suvarnabhumi.
In July 2016, it penetrated the chauffeur-driven car rental service segment, providing similar services to those provided under self-drive long-term car rental service but with drivers and a dedicated fleet and driver management system to satisfy customers' requirements. The drivers are either employed by the company or supplied by third party. The chauffeur-driven car rental service attracts healthy interests from large private firms.
The company embarked on the expeditions to position itself to benefit from growths in the long-term and short-term car rental segments that were expected to be driven by greater demands due to Asean's economic boom following the formation of the Asean Economic Community (AEC) and a resulting influx of inbound tourists who would need short-term rental cars for their journeys in Thailand. It also sought to offer cars on self-driven long-term and chauffeur-driven car rental services to help the corporate customers in reducing expenses and managing vehicle-related costs efficiently.
"We have great experience and expertise in providing an integrated car rental platform, offering self-driven long-term and self-driven short-term car rental services, as well as chauffeur-driven car rental service to respond to the needs of all customer groups. This places us in an excellent position to expand and strengthen our business in order to grow both locally and internationally and provide quality beyond expectations," he said.
Mr. Chairat Kamonoratep, asap managing director, added that the company has a call centre operating on a 24-hour basis and is committed to performing high quality, integrated car rental and related services, including fleet procurement, fleet tailored modification, fleet accessories installation, replacement cars and fleet maintenance, to provide solutions and respond to all needs. That, he said, has allowed it to win trust and long-lasting loyalty from customers. He also mentioned that short-term rental cars are attractive for their brand-new condition, low mileage and options (e.g. baby seat, GPS Navigator, bicycle holder, first-class insurance) that offer new, impressive experiences to customers.