July, 5, 2021
JAT Holdings, Sri Lanka’s trusted industry leader in finishing and furnishing, recently announced the firm’s intention to enter an Initial Public Offering (IPO) on the 20th of July 2021. Prior to the IPO, JAT Holdings will host a virtual forum scheduled for the 08th of July 2021, extending its invitation to the public to partake in the informative session.
Following decades of redefining and transforming the local industry, JAT Holdings has successfully established a firm market presence as the leader in wood coatings in Sri Lanka and Bangladesh, while also being renowned as the world’s largest distributor for Sayerlack. JAT also offers a suite of products such as decorative paints, chemicals, brushes and other interior solutions.
Proceeds from the company’s IPO will be used for the company’s near term objectives of investment in enhancing the existing R&D facility to a fully-fledged, state-of-the-art facility for all coatings, setting up a manufacturing facility in Bangladesh, expanding the WHITE by JAT marketing and development initiatives and setting up a manufacturing facility in East Africa. Adapting to dynamic global trends and needs, the company also introduced ecommerce platforms to suit the modern world today. These initiatives further prove JAT’s commitment to elevate Sri Lanka to global heights.
Managed by CAL and NDB Investment Bank, JAT Holdings’ IPO aims to raise Rs. 2.2 billion by offering 82,904,846 ordinary voting shares to the public. The IPO price per share of Rs. 27.00 offers an immediate upside of 21% to an incoming investor on the value per share of Rs. 32.70; derived from a combination of discounted cash flow (DCF) and forward-earnings ratio (PER) valuation methods.
Commenting on the business interest, Mr. Aelian Gunawardene - Managing Director of JAT Holdings stated, “We are incredibly pleased to announce that JAT will be going in for an IPO in the near future, an opportunity that should not be missed. The organization is well positioned as an innovative leader in the furnishing and finishing industry, however further investment is needed to unlock the true potential of the company. With that, it is also noteworthy that all our stakeholders will reap a plethora of benefits on par with the growth of the company, which is exciting news for all.”
Interested parties can visit www.ipo.jatholdings.com to refer to the prospectus and obtain more IPO related information. The site also includes an integrated chat function to ensure seamless communication of the IPO process. There is also a hotline number and a missed call line specifically for the IPO, for investors to obtain all relevant information to make well informed decisions, at the tip of their fingers.
With many accolades to its name, the organization was recognized for its outstanding organizational performance on multiple occasions such as the National Business Excellence Awards 2019, bagging the CNCI Top Ten Award at the CNCI Achiever’s Awards 2019, ranked amongst Sri Lanka’s Top 100 Most Respected Companies by LMD for 4 consecutive years and also ranking among the Top 20 Conglomerate Brands in LMD’s Brand Annual 2020 survey. JAT Holdings was also the only privately held company in Sri Lanka to receive Moody’s coveted ICRA “A+ Stable” rating for 5 years, consecutively.
With a global presence in Bangladesh, India, Maldives, Ghana, Kenya and Seychelles, JAT is also the exclusive agent for several renowned international brands such as Sayerlack, Harris, Herman Miller, SEA Kitchens and more. The upcoming IPO is yet another strategic move made by the leading conglomerate to further develop and consolidate the organization’s strengths, helping it pursue its endeavors to take Sri Lanka to new heights.