Cho Thavee Dollasien Plc (CTV-Doll), newly listed on the Market for Alternative Investment (MAI), plans to spend 250 million baht to expand production capacity of its Khon Kaen factory to accommodate its growing business.
Suradech: We need to expand
Suradech Taweesaengsakulthai, the president and chief executive, said the investment will be made once the company wins the bidding for two State Railway of Thailand (SRT) projects _ locomotive engines and sleeper trains _ worth a combined 8 billion baht.
The SRT will announce the winning bids for the locomotive engines next month and for the sleeper trains in the third quarter.
CTV-Doll, a manufacturer of trucks, trailer bodies and components based in Khon Kaen province, is also submitting a bid to the Bangkok Mass Transit Authority for a 13.2-billion-baht NGV-bus project.
Mr Suradech said the company has also signed contracts to build 90 dry van semi-trailers worth 109 million baht for DHL Express International Co.
At present, CTV-Doll, with annual capacity to produce 600 trailers and 600 cold storage containers, has a 400-million-baht backlog, all of it from private companies.
The company has three main businesses _ standard trucks, trailers and NGV vehicles; special designs for vehicles such as military transport; and project management and services.
"Some 95% of our orders are from private companies. We need to expand our business more to cover the government projects," said Mr Suradech.
CTV-Doll expects 2013 revenue growth of 10% from last year's 706 million baht.
The company, founded in 1994 as a joint venture between Thailand's Khon Kaen Cho Thavee (1993) Co and Germany's Doll Fahrzeugbau AG, had its first day of trading on Monday from its initial public offering (IPO) price.
The company allocated 200 million IPO shares at 1.80 baht apiece.
Shares of Cho Thavee Dollasien (CHO) closed yesterday on the MAI at 2.82 baht, down eight satang, in trade worth 491 million baht.