Exterminators’ IPO snapped up on opening day

Tuesday, 15 March 2022 04:04 - - {{hitsCtrl.values.hits}}

Managing Director Marlon Ferreira

Exterminators Ltd.’s Rs. 60 million Initial Public Offering (IPO) was oversubscribed in a matter of hours on the opening day yesterday.

The offer was managed by Atarah Capital Partners and Exterminators offered 20% of the stake or 10 million Ordinary Voting shares at Rs. 6 each.

Exterminators is Sri Lanka’s premier pest management and environmental enhancement technology company.

Founder and Managing Director Marlon Ferreira said: “We are delighted to be South Asia’s first and among the few pest control companies in the world to be listed in a stock exchange. We take this opportunity to thank each and every investor who believed in us during these challenging times and all employees past and present, our valuable clients, all our stakeholders for helping us on this 24-year amazing journey to reach this significant milestone.”

He also thanked the Colombo Stock Exchange (CSE) for introducing the ‘Empower Board’ for the SME sector in Sri Lanka and Atarah Capital Partners for encouraging and guiding SMEs to list on the CSE.

“We believe that listing on the ‘Empower Board’ is the beginning of our journey as a listed entity.

Our aim is to move into the ‘Main Board’ by 2025 subject to compliance with applicable Listing Rules and during this journey we will do whatever is required to exceed all stakeholder expectations by strictly adhering to the ESG framework by assessing the impact on sustainability and ethical practices at Exterminators in each and every step we take,” Ferreira added.

The funds raised through the IPO will be utilised to expand the company’s branch network by setting up three branches in 2022, build capacity by investing on novel equipment/technology and improve the vehicle fleet in the existing branches in Colombo and Kandy.

The company plans to set up a premier 24x7 customer care and retail centre to market internationally renowned energy saving, non-chemical pest management, health and safety brands.

The funds will also be utilised to expand local manufacturing by further investing in ‘Made in Sri Lanka’ products to contribute to mitigating the out-flow of foreign exchange from the country.

Exterminators exported the ‘Smart Guard’ termiticide replenishment system to a strategic partner in Maldives to be installed at the new terminal project – ‘Velana International Airport’, Maldives and ‘Smart Missile’ was exported to a resort in Seychelles.

Beyond the IPO objectives, the company plans to export ‘Smart Missile, Smart Guard and Smart Rodent Stations to South Asia, Central Asia, Middle East, Africa, Indian and Pacific Island nations. Exterminators also intends to set up pest control businesses in Maldives and UAE in 2022 and Seychelles, Botswana in 2023.