EURO prepares to open for subscription of IPO shares at 10.60 baht per share.

EURO is confident that the luxury market is still doing well, preparing to enter the MAI Stock Exchange to raise funds to top up the growth of the Luxurious & High Quality Living business. Open for subscription of IPO shares at 10.60 baht per share, 31 Jan. - 2 Feb.

Kevin Gambir, CEO of Euro Creations Public Company Limited, revealed that the luxury customer segment is a market with good growth potential and is relatively less affected by economic fluctuations because it has high purchasing power and is willing to spend if it is satisfied with the products and services.

Meanwhile, a total of 2565 units of luxury and super-luxury home projects in Thailand will be launched in 1,218, the highest in the past 7 years (data from CBRE Research).

“When the economy is bad, household debt is high. But every developer still needs to expand their business. Most of them turned to the luxury house market because they were the only group that still had money to pay. Banks still lend money, but if banks don't lend money, this group of people still has cash to buy. These people are all our customers. As a result, even in situations where the economy is still uncertain, we have become a company that is not affected much.

Even during COVID, we continued to grow even though our in-store branches were closed. This proves that price has no impact in terms of the market. luxury, therefore we are confident that luxury brands will still do very well.”

The company plans to expand 3 new showrooms as follows:

1) Euro Creations Flagship Gallery at Phuket aims to expand into a new market in Phuket, a world-class tourist destination with luxury hotels, resorts, and villas. The gallery will have approximately 1,094 square meters of retail space and is expected to open in the second quarter of 2024.

2) Euro Creations Gallery at Thonglor Soi 5, with approximately 1,635 square meters of retail space, is expected to open in the second quarter of 2024, featuring an additional selection of luxury brands and establishing a new market position in various product categories.

3) Euro Creations Gallery at Thonglor Soi 1, with a retail space of approximately 4,280 square meters, is expected to open in the fourth quarter of 2026. This aims to expand the market in terms of both design and price, by curating products from world-class brands to broaden the market and cater to new customer segments. Currently, there are five showrooms in operation, which will increase the total showroom space from approximately 5,875 square meters to 12,884 square meters within three years.

“What is driving the luxury Furniture Home market even more is Covid. People have the opportunity to visit friends' houses and get ideas for decorating or renovating their homes to upgrade them to the same level as their friends. The demand here still continues. Another strength of ours is our experience and customer base that has been with us for 20-30 years and has continuous repeat purchases because we are a group with enormous spending power.

And we still have the most Top Brand Luxury on hand. In the past, we have tried to do business to answer every point that is still in demand in the market or focus on the Blue Ocean market and not interfere with the Red Ocean because it is a market with many players, which means that someone has already answered the needs of customers. But we have to try to find new things to do.”

Ms. Pattheera Chantajorn, Deputy Chief Financial Officer of Euro Creations Public Company Limited, further revealed that...

“Our customers are customers with high purchasing power and are hardly affected by various economic crises. Including the demand for brand name products that has continually increased. Combined with the health trend, people turn to exercising more and there is a trend of more people staying at home. These factors have always resulted in our income growing steadily.”

The company's operating results from 2563 - 2565 have grown continuously. It had sales and service income of 776.59 million baht, 829.49 million baht, and 1,047.91 million baht, and had a net profit of 105.5 million baht, 121.7 million baht, and 135.9 million baht due to an increase in sales of products and services to general customers (B2C).

The imported products are distributed targeting luxury customers. and is less likely to be affected by economic fluctuations While the operating results for the first 9 months of 2566 had sales and service income of 958.2 million baht, an increase of 33.0% from the same period last year. and had a net profit of 138.6 million baht, an increase of 44.1% from the same period last year.

In addition, as of September 30, 2566, the Company has a ratio of interest-bearing debt to shareholders' equity. It is at a low level of only 0.94 times, reflecting a strong financial position. It has a return on assets (ROA) of 14.3% and a return on equity (ROE) of 73.6%, reflecting its ability to generate returns at a good level.

Mr. Dithdanai Sangkharom, Assistant Managing Director of Trinity Securities Co., Ltd. , acting as financial advisor and underwriter, stated that after Euro Creations Public Company Limited submitted its application for permission to offer securities and its registration statement to the Securities and Exchange Commission (SEC) for the initial public offering (IPO) of its ordinary shares to the public.

Recently, the SEC Office has approved the request form. and the filing form is already in effect Therefore, the IPO offering price has been set at 10.60 baht per share, taking into account the price and number of shares that institutional investors propose to buy (Book Building), and will be open for investors to subscribe on January 31 - February 2. 2567

with Trinity Securities Company Limited, Finansia Syrus Securities Public Company Limited, KGI Securities (Thailand) Public Company Limited, Krungsri Capital Securities Public Company Limited and Mae Securities Company Limited. Ortion Partners Public Company Limited is the distributor and underwriter of sales. and is expected to be listed on the MAI Stock Exchange in February. The abbreviation “EURO” will be used in securities trading.

Currently, Euro Creations Public Company Limited has a registered capital of 152.50 million baht, divided into 305 million ordinary shares with a par value of 0.50 baht per share. The paid-up capital is 125 million baht, divided into 250 million ordinary shares.

and will offer 78 million IPO shares, consisting of 55 million additional common shares and 23 million existing common shares, totaling 25.57 percent of the total issued and paid-up shares after the offering of additional common shares. This time

The approximate proportion of the initial offering of common shares consists of:

(1) Persons at the discretion of the underwriter 62.90 percent

(2) Institutional investors 19.23 percent

(3) Company benefactors 15.00 percent and

(4) Directors, executives, and employees of the company 2.87 percent

For the money received from this offering of additional common shares to be used.

(1) Invest in construction of 3 new showrooms: Thonglor Soi 1, Thonglor Soi 5 and Phuket showrooms.

(2) repay loans from financial institutions to construct a new showroom and repay short-term loans for working capital; and

(3) as working capital for business and business expansion