JPARK is the new IPO on mai or market for alternative investment, the exchange for smaller public company stock in Thailand. JPARK operates car parking management business mainly in inner Bangkok with 57 areas and over 28,000 slots, some are near rail and metro stations for the suburb to city commuters. The proceeds from the IPO are expected to fund the construction for the new parking building project near the hospital at the amount of THB 100 million, according to the filing.
According to the executive summary, the IPO selling is 27.5% or 400 million shares of the company. The total worth of this IPO is approximately THB 200 million, calculated from JPARK’s par value at THB 0.5 per share. The book value is at THB 0.63 per share and JPARK has a dividend paid out policy of more than 40% of its net profit after legal reserve.
JPARK revenues are coming from its own parking service (PS), management of other parking stations (PMS), consulting and installing parking system (CIPS) and other services with on average over THB 200 million in recent years. JPARK has an initial margin between 12% to 24% but suffered some net losses during the covid-19 pandemic.
Local analysts are giving the target price between THB 4.9 to 6.4 per share with P/E from 17.4 to 20 which are 10 times its par value, citing the company’s continuous growth along with Bangkok infrastructure expansion, long term contracts, strong revenue from cash-receiving business nature and potential for add-on like EV charging stations.
