PTC readies IPO amid rail expansion plan

PTC readies IPO amid rail expansion plan

Mr Weerawat expects the company's initial public offering and share trading to begin during the first quarter this year.
Mr Weerawat expects the company's initial public offering and share trading to begin during the first quarter this year.

Premier Tank Corporation Plc (PTC) is preparing to be the first fuel tank storage provider in Thailand to raise funds on the Market for Alternative Investment (MAI).

The listing plan, which was delayed from late last year, is aimed at helping the company improve its financial liquidity and repay debts.

Weerawat Burapapattanapong, chief executive of PTC, expects the company's initial public offering (IPO) and share trading to begin during the first quarter this year.

The Burapapattanapong family-run PTC plans to dilute its ownership from 70% to 51%, allowing the public to subscribe for IPO shares amounting to 26.8% of the total, or 110 million shares.

The company has not disclosed how much money it intends to raise on the MAI.

After listing, the company plans to expand its business by extending rail routes for oil transport, said Mr Weerawat.

The rail transport extension project is expected to require a budget of 110-120 million baht.

PTC is awaiting approval from the State Railway of Thailand to go ahead with this project.

The strength of PTC's business is its logistics revenue in the Northeast, a region with high fuel consumption, said Vorachart Tuaycharoen, managing director of Finnex Advisory Co, a financial adviser to PTC.

PTC provides fuel tank storage and dispenser system services to oil traders in the Northeast.

The company receives fuel from its sole feeder, PTT Oil and Retail Business.

Its main service facilities are located in Khon Kaen and Sri Sa Ket provinces.

PTC also provides fuel blending services, ranging from gasoline and diesel to biofuels.

The company distributes fuel and biofuels throughout the northeastern region.

Its total revenue in the three years from 2018 to 2020 stood at 162 million baht, 176 million and 253 million respectively, with net profit recorded at 75 million baht, 54 million and 111 million respectively, according to the company.

Revenue in the first nine months of last year dropped by 11% to 166 million baht from the same period in 2020. Net profit also decreased by 9% to 72 million baht.

Do you like the content of this article?
COMMENT

+5,238 cases

Thailand had 40 more Covid-19 fatalities and 5,238 new cases during the previous 24 hours, with another 3,445 positive results from antigen tests.

15:20

Manhunt for Tak gold shop robber

TAK: A police manhunt has been launched for a man who on Sunday staged a robbery at a gold shop in the Big C superstore in Muang district of this northern border province and made off with 193-baht weight of gold ornaments worth about 5.8 million baht.

13:44

Chadchart warns supporters against taking his poll lead for granted

Chadchart Sittipunt, an independent candidate in the upcoming Bangkok governor election, is beseeching his supporters to not take comfort in his poll leads.

13:10