DPAINT raises 137M baht, buys Phuket condo, sees post-flood paint demand
Rights offering completed, raising 137 million baht DPAINT finished its rights offering, raising about 137 million baht net. The cash will fund the Phuket condo project and strengthen the balance sheet. This reduces the risk of a cash crunch and supports the new real-estate plan, a positive for the shares.
The completed capital raise is the key funding event that de-risks the company's expansion and liquidity.
Acquires Phuket condo developer to build new revenue stream DPAINT bought The City Phuket Residence, the developer of a Phuket condo project. This moves the company beyond paint into real estate, aiming to add a new source of income and reduce reliance on its struggling paint business. The market sees this as a potential long-term growth driver.
The acquisition is the core strategic shift that could create a new earnings engine for DPAINT.
Post-flood recovery boosts paint and renovation demand After recent floods, homeowners are repairing and repainting, which directly lifts demand for DPAINT's core paint and construction materials. This supports sales in the near term and helps the core business generate cash while the new real-estate project develops.
This is a fresh demand catalyst for the core paint business, which still generates most of DPAINT's revenue.
Major shareholder Nada takes 21% stake, but losses continue Nada Anirutthewa, owner of the Phuket condo developer, became a 21% shareholder after oversubscribing to the rights issue. Her backing is a vote of confidence, but DPAINT's losses are widening and cash is tight, so the turnaround is still unproven.
This shows both the confidence signal from a key investor and the real financial weakness that could weigh on the stock.