Qua Granit to make TRY 395m through IPO

Technical granite manufacturer Qua Granite’s initial public offering (IPO) will be held on April 5-6. The company’s total size of equity issuance through IPO will amount to TRY 395m. Qua Granite will enter the stock market as the largest company offered to public in the last three years. Fund to be raised through will be used in capacity increase investment which will strengthen its equities as well as extending its export market.

Qua Granite will be offered to public by sale on stock exchange through existing shares and capital increase methods. Each of which is priced at TRY 16.46, 24,000,000 equities will be offered to public with intermediation of Info Yatirim. Accordingly, the total size of equites to be offered to public will amount some TRY 395m. Following the IPO, 20% of the firm will be traded at BIST Star Market. Qua Granite’s market value is estimated to reach TRY 2bn following the IPO.

A good part of nearly TRY 247m to be obtained through capital increase at IPO will be used in financing of capacity increase investment, according to Ali Ercan, Chairman of the Board of Qua Granite. “We’ve started the investment in three new production lines with a capacity of 22.5 million square meter in the end of 2020. We gradually plan to complete this investment in 2021 and 2022,” Ercan noted. The company aims to increase its net sales revenues to TRY 850m in 2021 and to TRY 1.2bn in 2022 with the completion of these production lines and especially with the start of exports towards the U.S, according to Ercan.

Established in 2015, Qua Granite continues manufacturing in Aydin Soke Organized Industrial Zone. The company has increased its turnover more than twice in the last two years, to TRY 702.7m by the end of 2020, It also raised its net profit by 7.4-fold to TRY 144.5m.

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