Water-sport firm turns to auto parts
Cobra International, a water-sport board manufacturer, has moved to make carbon-composite auto parts to cope with the shrinking water-sport board market.
It has set up a company, CPC, to deal with this lucrative segment, which is expected to be valued at US$878 million (Bt32.2 billion) by 2011. The whole advanced structural-carbon market is projected to reach $2.2 billion in five years. For its first order, the company will start turning out the new Audi TT coupe's spoilers around January. A workshop with controlled temperature, humidity and dust conditions is being completed. "We hope to make Bt400 million profit from this operation alone," said Danu Chotikapanich, chief executive of Cobra International. Danu hopes to restructure the firm's organisation in preparation for a possible initial public offering in 2009. "Because we are a family-run business, when I stepped in as CEO a few years ago, we didn't even have a cash-flow forecast," said Danu. He hopes to see what he called a "professional CEO" in his place in the near future. Another major concern, albeit external and somewhat beyond the company's control, is that 52 per cent of its raw materials are imported. The company has been coaxing its suppliers to set up businesses within its vicinity. The company also intends to diversify its portfolio by manufacturing high-end jet skis, kayaks and yachts. It hopes to increase turnover from Bt2.4 billion this year to Bt3.6 billion in 2007. At present, Cobra, a wholly Thai-owned company, produces 90 per cent and 70 per cent of the world's windsurfing boards and surfboards respectively. Cobra says its strength lies in its expertise and passion for water sports - both traditional and "extreme". It employs world champion windsurfer Bruce Wylie to advise on the design of its boards. Ki Nan Tsui The Nation Chon Buri
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