Srisawad Power 1979 Plc, the consumer finance company, plans to seek a listing on the Stock Exchange of Thailand (SET) by floating 250 million newly issued shares.
Proceeds will be used to raise funds for business expansion and debt payment.
The company on Wednesday submitted a listing filing to the Securities and Exchange Commission.
Asia Plus Securities will serve as the financial adviser.
The IPO will raise the company's paid-up capital by a third to 1 billion baht.
The Kaewbootta Group will see its shareholding dilute to 60.51% post-IPO from 80.67%.
The planned IPO suggests demand by companies to raise funds publicly through the primary market remains strong despite Wednesday's flop debut of Pace Development on Wednesday.
Srisawad has a policy of paying out dividends of 40% of net profit.
Executive director Somyot Ngerndamrong said Srisawad targets mainly low-income earners including farmers and small business owners.
The company provides hire purchase loans for all types of cars and motorcycle under its Srisawad Power 1982 and Fast Money subsidiaries.
Its quick loan approval and flexibility are among its strengths, said Mr Somyot.
It provides loans based on a variety of collateral, from motorcycles and cars to land and farm equipment.
The firm extends loans at 50-60% of the market price of collateral pledged for low-credit clients through its 385 branches nationwide.
First-quarter revenue amounted to 398 million baht for a net profit of 143 million.
As of March 31, it had total assets of 5.41 billion baht, total liabilities of 4.42 billion and share equity of 995 million.
About the author
- Writer: Nuntawun Polkuamdee
Position: Business Reporter