STOCKS / INITIAL PUBLIC OFFERINGS

Unique Engineering tops IPO price in healthy debut

KRISSANA PARNSOONTHORN

Unique Engineering & Construction Plc (UNIQ) made a positive debut on the Stock Exchange of Thailand yesterday with share prices staying above their initial public offering level of 1.80 baht.

Market observers were closely watching the first new listing on the main board for 2007, given the indifferent performance of the SET lately. But executives said the company's strong fundamentals and bright growth prospects helped it to overcome sluggish market sentiment.

UNIQ shares opened at 1.79 baht, one satang below the IPO price, and peaked at 1.84 before closing at 1.83 baht, in brisk trade worth 193.98 million baht. The main SET closed at 673.71, up 2.09, in trade worth 8.23 billion baht.

Ashwin Ahuja, senior vice-president for investment banking of Seamico Securities, the financial adviser for the company's listing, said Unique shares were attractive for long-term investment.

''We were pleased with the share prices as we have entered the market at a time when investment sentiment was not upbeat. We hope the share prices will pick up soon,'' Mr Ashwin said.

Unique listed 625 million shares with a par value of one baht on the SET. It floated 162.5 million shares in its IPO at 1.80 baht to raise 292.5 million baht to finance expansion.

The company has two business units, high-tech infrastructure construction and property development.

Managing director Koraphat Suvivatthanachai forecast revenue would double this year from 1.27 billion baht as Unique has a backlog worth 5.4 billion baht, of which half would be realised this year. It has already secured three additional projects worth 4.2 billion baht, including the Rarm Intra-Ring Road expressway and the Bangkok rapid transport (BRT) Chong Nonsi-Krungthep bridge route.

The company is also handling two new residential projects _ the new phase of Residence in the Park in Nonthaburi and the 154-rai Unique Park housing estate in Pathum Thani.

At the end of last year, the company had contracts worth 1.95 billion baht under construction. It posted a net profit in 2006 of 40.15 million baht on revenue of 1.27 billion. Of the total revenue, 94% came from construction and the balance from property projects.

Bangkok Post

Saturday March 31, 2007