Do Day Dream sets IPO price at Bt53

Corporate December 13, 2017 13:50

By The Nation

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Do Day Dream Public Company Limited, the producer and distributor of Snail White skincare products under the Namu Life brand, has announced the offered price of its ordinary shares at Bt53 under an initial public offering (IPO) scheme where no more than 76 million shares are offered.

This final IPO price was set after the company received overwhelming response from institutional‎ investors with 18 times oversubscription, the company said.

The funds raised in this project will be used to expand production capacity and distribution channels as well as improve of its operations and research and development in order to bring Thai brands to the forefront of Asia.

The company also appointed Bualuang Securities Public Company Limited as its lead underwriter.

Subscription period will be on December 14-15 and December 18, with scheduled first day trading on December 26.

Sarawut Pornpatanarak, chief executive officer, said: “The company would like to thank both institutional and retail investors who have responded well to the initial public offering (IPO). Executives will do their best to operate the company and provide investors’ expected return.

“The company has plan for future growth in Thai and overseas markets, especially in Asia. The company’s facial skincare product is among the market leaders available on modern trade channels. The price also reflects the current stock market conditions and quality of institutional and retail investors who have expressed interest in Do Day Dream stocks.”

The stocks are expected to trade on the Stock Exchange of Thailand under ticker symbol DDD, Sarawut said.

The confidence in its IPO project is contributed to the company’s strong performance. Do Day Dream reported Bt1263.6 million total revenue in the first nine months of this year, which is 27.6 per cent higher than Bt985.4 million in the same period last year. Overseas sales revenue growth in this nine-month period was Bt457.9 million, a significant increase from Bt115.9 million last year. This represented a significant growth in the overseas market, the company said.

Do Day Dream’s nine-month profit was Bt253.5 million, a slight drop from 278.8 million baht in the same period last year. This is a result of the increasing marketing and promotion expenses related to a series of eight new product launches in the beginning of this year compared to only one product launch in 2016.

In addition, advertising and promotion expenses for its shower cream launched in October 2016 were recorded in the company’s book in 2017, resulting in higher sales expenses this year.

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