mai President Prapan Charoenprawatt said that CHIC would list and start trading on mai in the Services industry group.
CHIC operates furniture distribution business, inclusive of home decoration products, housewares, and one-stop shopping of mattresses and bedding, in the form of large stand- alone stores, under the main house brands of furniture products named "CHIC Republic" and "Rina Hey", as well as the brand "Ashley" for imported products, among other brands via in-store shopping and online channels. Currently, the company has six branches, consisting of five branches in Thailand: Pradit Manutham, Pattaya, Bang Na, Ratchaphruek and Raminthra, and one branch abroad in Cambodia.
In addition, the company also sells and installs furniture products for domestic condominium projects, provides comprehensive interior design services, and rent spaces/booths (allocated within the branch) for other products so as to attract more customers.
CHIC has a registered paid-up capital of THB 680 million, consisting of 1 billion existing common shares and 360 million newly issued shares, with a par value of THB 0.50 each. It offered 270 million newly issued shares to the persons at the underwriters' discretion, up to 54 million shares to patrons of the company and subsidiaries, and up to 36 million shares to directors, executives and employees of the company and subsidiaries, during July 18 - 21, 2022 at THB 0.90 each, for a total of THB 324 million. The IPO price was equivalent to price-to-earnings ratio (P/E ratio) of 43.06 times. The earning per share is equal to THB 0.0209, which was calculated from the company's net profit over the past four quarters (from April 1, 2021 to March 31, 2022), divided by fully diluted shares. Maybank Securities (Thailand) pcl is its financial advisor and lead underwriters, and Asia Plus Securities Co., Ltd. and Land and Houses Securities pcl are co-lead underwriters.
CHIC Managing Director Kijja Pattamasattayasonthi said that CHIC focuses on expanding branches in prime and potential locations, in the center of large urban communities, while prioritizing offline to online and online to offline (O2O) marketing strategy to fine tune business in preparation for digital transformation to cope with changing consumer behaviors and future needs. The proceeds arising from the fundraising will be used to expand branches, refurbish certain local branches for more rental spaces and create recurring income sources, repay financial institutions' loans, and as working capital. Specifically, the company places importance to the development of the company's website, aiming to increase e-commerce sales to accommodate the continuously expanding customer base.
The company's dividend policy is to pay no less than 40 percent of net profit from the company's separate financial statement after corporate income tax and all types of reserve funds as specified in the company's regulations and by law.
CHIC's major shareholder after the IPO is Pattamasattayasonthi family, the founders (73.53 percent).
Investors and interested parties, please find details from the company's prospectus at the Securities and Exchange Commission's website at www.sec.or.th; and for general information, please visit www.chicrepublicthai.com as well as www.set.or.th.
Source: SET Corporate Communications