SCG Packaging Public Company (“SCGP”); has submitted its registration statement and draft prospectus to the Office of the Securities and Exchange Commission of Thailand (the “Thai SEC”) in connection with its contemplated initial public offering (“IPO”) and listing of its ordinary shares on the Stock Exchange of Thailand in an amount not exceeding 30.0% of the paid-up capital of SCGP after its completion of the initial public offering, in which SCG will continue to be a major shareholder in SCGP. SCGP is the rising star of SCG and a leader in the fully integrated packaging business that provides quality packaging and various services and develops innovative solutions responding to the needs of every group of customers and corresponding to the consumer growth of Southeast Asia and other regions.
Mr. Roongrote Rangsiyopash, President and CEO of SCG, revealed that SCGP has already submitted a registration statement and draft prospectus in connection with its contemplated IPO and listing its ordinary shares on the Stock Exchange of Thailand to the Thai SEC, giving people the opportunity to invest in a packaging business with potential growth. Under the IPO plan, SCGP will issue and offer no more than 1,374,000,000 ordinary shares, such shares will be allocated as follows: (1) up to 1,194,800,000 newly issued ordinary shares in connection, representing up to 27.7% of the total issued shares of SCGP after the offering of newly issued ordinary shares (not including the number of newly issued ordinary shares of SCGP set aside for the subscription by the Over-Allotment Agent in case of exercise of an over-allotment option), and (2) up to 179,200,000 over-allotment shares, representing up to 15.0% of the total number of shares issued and offered for sale in the IPO.
The number of newly issued ordinary shares in the IPO will not exceed 30.0% of SCGP’s paid-up capital after completion of the IPO and SCG will continue to be the major shareholder of SCGP, holding not less than 70.0% of the paid-up capital of SCGP after completion of the IPO. This will be a great opportunity for SCG to benefit from the operations of SCGP which is expected to create value from potential growth in the future.
“SCGP initially aims to use the proceeds from capital raised from the initial public offering (IPO) in investing in business expansion by expanding the production capacity of SCGP, mergers and acquisitions, loans repayment, and working capital for the operation of the business. SCGP plans to expand its investment in both domestic and international markets to support the growth of the packaging market, specifically in Southeast Asia which has had high growth rates in the areas of consumer products packaging, food service products, and products traded through E-commerce. In this regard, SCG will provide updates on any further progress of SCGP’s IPO plan” said Mr. Roongrote.
SCGP operates as a fully integrated packaging business in Southeast Asia. It is one of SCG’s growing businesses through discretionary and successful mergers and acquisitions. In 2019, SCGP acquired PT. Fajar Surya Wisesa Tbk. in Indonesia and Visy Packaging (Thailand) Limited in Thailand, with an aggregate investment value of over THB 25,000 million. SCGP’s wide consumer base is expanding due to, among others, increased consumer demand in Thailand, Vietnam, Indonesia, Philippines, Malaysia, and other countries in and outside Southeast Asia. In addition, SCGP has developed innovative multi-materials packaging products, both paper and polymer, that enable it to offer integrated packaging solutions. SCGP also uses digital technology to increase its business efficiency while promoting and implementing sustainable business practices in accordance with the principles of the Circular Economy. SCGP is the leader in providing fully integrated packaging solutions in Southeast Asia that provides packaging solutions and various services that address its customers’ various needs throughout the entire supply chain.
Investors may review SCGP’s registration statement and the full draft prospectus submitted to the SEC at www.sec.or.th
 Based on the information from Frost & Sullivan, 2018
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This news release and its contents shall not constitute an offer to sell or the solicitation of an offer to buy any securities in the United States or in any other jurisdiction in which such offer, solicitation or sale would be unlawful. The securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) or the laws of any state in the United States, and may not be offered or sold within the United States absent registration or an exemption from the registration requirements of the U.S. Securities Act and applicable state laws. There is no intention to register any portion of the contemplated offering or any securities described herein in the United States or to conduct a public offering of securities in the United States.
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