SunVic Chemical Holdings Limited (“SunVic Chemical”), one of the leading manufacturers of acrylic acid (“AA”) and acrylate esters (“AE”) in the PRC, launched its initial public offering (“IPO”) of 155 million new shares at S$0.30 each, in conjunction with its listing on the Main Board of the Singapore Exchange Securities Trading Limited (“SGX-ST”). DBS Bank Ltd is the Manager, Underwriter and Placement Agent for the IPO, At an issue price of S$0.30 per share, SunVic Chemical is priced at a historical price earnings ratio of 3.7 times, based on the Group’s historical net earnings per share of 7.9 Singapore cents for FY2005.
About SEAVI Advent
SEAVI Advent is the exclusive Asia affiliate of Advent International, a global private equity fund with over US$10 billion under management. SEAVI Advent has been in partnership with Advent International since 1984. SEAVI Advent is now actively investing its regional Fund IV program which focuses its capital investing in high-growth late-stage companies and middle market buyout situations. SEAVI Advent has regional offices in Singapore, Shanghai, Beijing and Hong Kong.
About Sunvic Chemical
Strategically located in the Chenjiagang Chemical Zone of Yancheng city in Jiangsu Province, SunVic Chemical currently has an annual production capacity of approximately 150,000 tonnes of AA and 210,000 tonnes of AE, which are sold to customers in the PRC as well as the overseas market. AA and AE are commonly used in the production of many industrial and consumer products. AA (comprising purified AA and glacial AA) is used to produce super absorbent polymers (SAPs) for diapers and feminine hygiene products, antiscalants for water treatment, as well as other everyday products such as paint formulations, coatings, rubber, adhesives, textiles, hair sprays, shampoos, detergents, dental plates, artificial teeth and orthopaedic cement. It is also used as a chemical intermediate in the production of AE. On the other hand, AE (comprising butyl acrylate, methyl acrylate, ethyl acrylate, and 2-ethylhexyl acrylate) is used to produce polymers such as surface coatings for exterior architectural coatings, interior paints, topcoats for automotive and trucks, machinery, equipment and other product finishes, paints, plastics, inks, thickeners and textiles. It is also used to make adhesives and sealants such as decorative andfunctional pressure-sensitive adhesives (PSA) products like self-adhesive envelopes and shipping labels, and even emulsion based acrylic sealants for bathtub caulks, baseboards, glazing, masonry joints, roof, and siding joints. The Group has a network of more than 200 customers, including large MNCs such as Degussa and ECEM B.V. in Europe. More than 75% of SunVic Chemical’s sales are derived from the PRC market (Beijing, Shanghai, Jiangsu, Shandong, Zhejiang, Fujian and Guangdong provinces), with the rest exported to 16 overseas markets, including Argentina, Brazil, Chile, Peru, USA, Italy, Germany, Netherlands, India, Korea, Hong Kong, Malaysia, Thailand, Japan, Taiwan and Singapore.