Rich Sport seeks IPO for international expansion
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Thailand’s sole distributor of Converse footwear and sportswear, Rich Sport has submitted its filing for an IPO on the Stock Exchange of Thailand this year.
It is hoping to raise funds to expand internationally.
Rich Sport has been making and distributing the Converse brand in Thailand for 14 years. It has 41 retail shops and 11 counters in department stores. It reported revenue of THB601.12 million and net profit of THB122.16 million for its first half this year.
According to its filing, the company is looking at issuing 200 million IPO shares, equivalent to about 26 per cent of its registered capital. Of that, 195 million shares will be offered to the public while the balance will be allotted to employees and subsidiaries.
Rich Sport Holdings owns 30 per cent of shares, and the rest is held by three members of the Wongpaitoonpiya family at 23.33 per cent each. After the IPO, Rich Sport Holdings’ share will be diluted to 22.21 per cent.
Questions & Answers
Q.What is the primary reason Rich Sport is pursuing an IPO?
What is the primary reason Rich Sport is pursuing an IPO?
Rich Sport is seeking to raise funds through an Initial Public Offering this year. The company's main objective for this IPO is to facilitate its international expansion efforts, as stated in its filing document.
Q.What are Rich Sport's recent financial performance figures?
What are Rich Sport's recent financial performance figures?
For the first half of this year, Rich Sport reported a revenue of THB601.12 million. During the same period, the company achieved a net profit totalling THB122.16 million, as disclosed in its filing.
Q.What will be the impact of the IPO on the current major shareholder, Rich Sport Holdings?
What will be the impact of the IPO on the current major shareholder, Rich Sport Holdings?
Rich Sport Holdings currently owns 30 per cent of the company's shares. Following the IPO, its ownership stake will be diluted, reducing its share to 22.21 per cent of the registered capital.
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