The Nation



AI Energy to expand biodiesel production after MAI listing

AI Energy hopes to mobilise funds by listing on the Market for Alternative Investment this month to expand biodiesel production by 20 per cent next year to meet rapidly rising demand from all industries.

The company converted to a public company this year and raised its registered capital to Bt1.13 billion.

Finansia Syrus Securities, Capital Nomura Securities and Phillip Securities (Thailand) are the financial advisers and distributors for the initial public offering of 445 million shares at the IPO price of Bt4.75 per share.

Of the IPO, 275 million shares will be offered to the existing shareholders of Asian Insulators from December 19-20 and 195 million shares to the public from December 23-24. AIE's stock will start trading on January 6.

Managing director Anurag Thareratanavibool said AIE's new fractionating tower began operating last February and now AIE can produce 1,150 tonnes of crude palm oil per day.

The IPO proceeds will be used to expand facilities and improve machines or buy new ones. AIE has invested Bt110 million this year and is planning to invest Bt180 million by next year, of which Bt120 million will be use to buy new biodiesel machines and Bt60 million to buy more preservation towers for crude resources.

Somphob Sakpanpanom, chief executive of Asset Pro Management, said AIE's stock had strong potential and should be well received by investors, as the biodiesel business is growing along with the government's promotion of renewable energy.

AIE's revenue has grown by 20 per cent from Bt3.39 million last year and is expected to close this year at about Bt4.2 billion, he said.

Comments conditions

Users are solely responsible for their comments.We reserve the right to remove any comment and revoke posting rights for any reason withou prior notice.