Tecnoglass will implement liquidity programs for its shares
Bogota Yesterday, Tecnoglass Holdings held its first meeting with the media after being listed in the Colombian Stock Exchange (BVC) on january 6. Christian Daes, company COO, told LR, that the listing process was performed twice because people here in Colombia wanted to buy our shares, but had to open an account in the United States to be able to. He also stated that this year will be good for the company, both in Colombia and outside the country and with the foray into the stock market they want to have a volume of 100,000 shares. Tecnoglass, headquartered in Barranquilla, entered Nasdaq in 2013 to raise capital. According to the company, the last two years increased the company’s value by around 35% in dollars, which means that in Colombian pesos it has reached a valuation of 130%.
What are your expectations with your listing in the Colombian Stock Exchange ? Expectations are very positive. We hope to consolidate our investors in Colombia and the United States. The first year we moved 4,000 shares in Nasdaq; in the second year, 8,000 shares and this year we expect to double the volume to around 31,000 shares. The goal is to reach a volume of 100 thousand shares.
Why go to the local market at a time when the markets are so low? In the United States the competition has lost share value, but not us. We hope the same thing happens in Colombia because we want to be known across the whole country and that we have many quality products.
What is your plan to improve liquidity of the shares? Within our priorities we plan visit major cities in Colombia and for our customers in the country to become shareholders. In addition, we are working on forming a liquidity program to increase the volume of share, and we are working with with Credicorp Capital and Casa de Bolsato this end. The final plan will be reported at a later date.
What investment plans do you have for the company? This year we will continue working on expanding the company’s infrastructure and new business lines. We hope to continue to grow this year in sales and we hope to sell nearly (COP) $ 1.1 billion.
How will you finance these processes? We were recently granted a credit of around US $ 120 million, which will be used to refinance a debt of about US $ 83 million to be paid in seven years, an additional US $ 30 million will be used to finance expansion in our plant facilities. With this capital we will work in 2016.
How has the devaluation of the colombian peso in the last year affected you? The strengthening of the dollar has impacted us favorably. We suffered for many years due to reevaluation and the industry was not profitable. We can now have more export earnings. It helps that the exchange rate will not be based on the export of oil or coal, it is the time for the country's exporters.
Have sales in Colombia have been affected by the devaluation? Clearly they have been affected because the raw material for our products is imported. Additionally, going from peso to dollar sales would seem to affect sales. However, in Colombia, our customers give us advances on the work, allowing us to work without having to stop production.
How do you see the slowdown? We can’t be pessimistic because it is a process that is affecting all countries and we are hopeful because we are having more sales in pesos. Also, this year in construction we’ve had a lot of serious interest in our products.
Projections of increased sales by 20% in 2016 According to the company with the investments this year like the US $40 million, 20,000 square meter soft coat glass plant, Tecnoglass Inc. plans to increase its sales by 20% in 2016. This plant will employ more than 700 people and generate an estimated increase in sales of US $ 200 million over the next five years. By the close of 2015, the company expects sales of more than US $ 240 million and EBITDA of US $ 65 million.
The opinions: Diego Franco Trader "Having Tecnoglass on the BVC is positive because it sends a message to other companies that it is an adequate market to find resources"
José Manuel Daes CEO of Tecnoglass “We have decided to make this double listing with the BVC because we want to diversify our shareholder base and expand our exposure”Source: La República