Lotte Chemical Titan, Malaysian subsidiary of South Korean petrochemical company Lotte Chemical Corp. is readying debut on the Malaysian stock exchange next month with initial public offering price guidance at 7.8 ($1.82)-8 ringgits apiece.
Since it is offering 740,480,000 shares, the company would be able to raise up to 5.9 billion ringgits ($1.4 billion) from the IPO. Given its stellar business performance, market watchers expect the net worth to jump to near $4 billion and join the top 20 market cap on the Malaysia stock market.
Lotte Chemical purchased the entire stake in Titan Chemical at 1.5 trillion won ($1.3 billion) in 2010. Since then, it has grown to become one of Southeast Asia’s leading petrochemical companies running operations in Malaysia and Indonesia.
Lotte Chemical Titan in 2016 registered an operating profit of 505.8 billion won on sales of 2.3 trillion won last year while posting 377.7 billion won in net profit. It contributed 20 percent to Lotte Chemical’s total operating profit and 21 percent of total net income last year.
Shares of Lotte Chemical finished Friday at 333,500 won, up 1,000 won or 0.3 percent from the previous session.
By Kang Doo-soon and Song Gwang-sup
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