As of 10.30 local time in Thailand, the share price of Sri Trang Agro-Industry Public Company Limited (STA) was at THB12.50, increased THB0.90 or 7.76%. During the session, the highest of STA’s share price was at THB12.50 and the lowest was THB11.80 with a trading value of THB112 million. An increase of STA’s share price might due to the effect from approval of STA’s Board of Directors for the plan of issuance and offering of newly issued ordinary shares of Sri Trang Gloves (Thailand) Public Company Limited (STGT)
On 8 July 2019, STA has informed that the Board of Directors approved the plan of issuance and offering of newly issued ordinary shares of Sri Trang Gloves (Thailand) Public Company Limited (STGT) in the initial public offering (IPO) and the listing of STGT on the Stock Exchange of Thailand (SET) and/or any other stock exchanges (Spin-Off).
The number of newly-issued shares to be offered in the IPO shall not exceed 31% of the total paid-up capital of STGT after the IPO which expects to be completed in 3Q2020.
STA expects a sale of company’s IPO would lessen the burden of STA in providing financial support to the STA’s manufacturing and distribution of medical and industrial rubber gloves business in the long run, as STGT could raise funds independently through the capital market.