Zen Corporation, a holding company that operates several restaurants, plans to sell 75 million shares, equivalent to 25 per cent of its registered capital, in an initial public offering (IPO) on the Thai stock exchange in the first quarter.
It plans to use the IPO proceeds to fuel its expansion, improve its existing locations and repay loans to commercial banks, according to its announcement last week.
Zen operates several restaurant chains such as ZEN, Musha by ZEN, Sushi Cyu Carnival Yakiniku, AKA, On the Table Toky Cafe, Tetsu and de Tummour. Besides, it runs the full gamut of food services including food delivery, catering, restaurant management and consultancy, and food retail.
Boonyong Tansakul, chief executive officer of Zen, said that the firm aims to be a leader in the food service business in Thailand. It expects total revenue to hit 10 billion baht ($317.43 million) by 2022. In the first three quarters of 2018, it posted total revenue of 2.22 billion baht.
Its net profit surged 120.9 per cent from 49.2 million baht in the first nine months of 2017 to 108.7 million baht in the same period last year on the back of growth in its restaurants and franchise businesses.
It plans to add 36 of its own branches and 175 franchise branches in 2019.
Kasikorn Securities is acting as the financial advisor to this IPO.
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