Contemporary Glass's IPO Dates Revealed
Last week, the public offering dates of Çağdaş Cam, one of the companies that received approval for an IPO from the Capital Markets Board, were announced. The demand collection phase for the IPO will take place over two days, from December 11 to 12. The process will be conducted through the "Sales on the Stock Exchange" method on Borsa İstanbul's Primary Market, under the code CGCAM.HE. A fixed price of 20 TL per share has been set for the IPO, with a total of 42 million TL in nominal value of shares being offered for sale. The offering, led by Deniz Yatırım, will increase the company’s capital from 137 million TL to 168 million TL.
Company officials stated that they aim to make Çağdaş Cam one of the leading glass processors in global glass supply chains. They emphasized that the IPO is a significant step towards achieving these goals and expressed their intention to grow based on corporate and ethical governance principles.
Growth Strategy through Investments
Çağdaş Cam plans to utilize the proceeds from the IPO for new investments. The company, which currently achieves approximately 37,000 tons of glass sales annually at its Nazilli OSB facility, aims to increase its production capacity. In this context, it anticipates starting construction of a second factory in Manisa OSB in December 2024.
The company aims to grow with innovative products in the white goods and energy sectors while also investing in environmentally friendly production. With the 3.7 MW solar energy system installed on the rooftops of the Manisa and Nazilli factories, part of its electricity is sourced from renewable energy.
Export-Focused Strategy
Çağdaş Cam plans to stand out in competition with its export-oriented growth strategy. By developing various glass characteristics like energy efficiency, security, and aesthetics, it aims to provide the highest value to its customers. To this end, it also plans to increase R&D investments and expand its product portfolio.
The company, especially while developing the latest products in solar energy glass that provide energy efficiency, aims to contribute to reducing the current account deficit with its investments in this field. It is stated that the export-oriented growth strategy will be further strengthened with the new facilities that will be launched.
Financial Performance and Financial Plans of Çağdaş Cam
Maintaining low levels of financial debt, Çağdaş Cam plans to use the proceeds from the IPO for new investments and strengthening its working capital rather than for debt repayment. The company achieved a revenue of 2.2 billion TL in 2023, with its last 12 months revenue approximately at 1.9 billion TL.
With an EBITDA margin of about 26%, the company plans to expand its areas of activity and invest in digital transformation along with the IPO. It aims to optimize production processes by adopting digital solutions such as ERP and machine learning.