- Funds raised to be utilised to expand company branch network
The initial public offering (IPO) of Exterminators Ltd., Sri Lanka’s pest management and environmental enhancement technology company, was oversubscribed in a matter of hours on the opening day.
Exterminators Ltd. Founder/Managing Director Marlon Ferreira stated: “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, and all our stakeholders for helping us on this 24-year amazing journey to reach this significant milestone.”
The offer was managed by Atarah Capital Partners, and Exterminators Ltd. offered 20% of the stake via IPO to raise Rs. 60 million by offering 10,000,000 ordinary voting shares at a price of Rs. 6 per share.
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 24×7 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 outflow of foreign exchange from the country. Exterminators exported the “Smart Guard” termiticide replenishment system to a strategic partner in the Maldives to be installed at the new terminal project – Velana International Airport, the Maldives – and “Smart Missile” was exported to a resort in the Seychelles. Beyond the IPO objectives, the company plans to export Smart Missile, Smart Guard, and Smart Rodent stations to South Asia, Central Asia, the Middle East, Africa, India, and the Pacific Island nations. Exterminators also intends to set up pest control businesses in the Maldives and the UAE in 2022 and the Seychelles and Botswana in 2023.