After completing a $8 million initial public offering, pipeline equipment supplier SRJ Technologies (ASX: SRJ) has listed on the Australian Securities Exchange.
In its IPO, SRJ’s shares were offered at $0.50 each. Soon after its shares started trading this morning, investors were paying up to $0.79.
The company is domiciled in St Heliers, Jersey, has offices in Perth and at Southampton in the United Kingdom.
It specialises in coupling links for pipeline joints and weld-free leak and containment solutions. Not needing to weld the parts on significantly reduces installation time.
The parts are targeted at operators who need emergency supplies when repairing pipelines.
SRJ has a network of pre-qualified service providers and manufacturers local to customers.
The company says it is “geolocation-flexible and able to deliver a range of high quality, agile and cost-conscious solutions globally”.
SRJ moves to distribute through Mitsui network
Mitsui &Co Australia today has joined the company’s share register in conjunction with the IPO.
SRJ and Mitsui are now exploring commercial opportunities to promote SRJ’s range of products and services through Mitsui companies, and targeting the energy, chemicals and mining and metals sector.
The Japanese Mitsui parent company has a market capitalisation of US$30 billion (A$41 billion).
SRJ chief executive officer Alexander Wood said SRJ was excited to be partnering with Mitsui.
“Despite the challenges that 2020 has posed with the global COVID-19 crisis, and its impact on the oil and gas sector, there has been a very strong interest in the IPO,” he added.
“In fact, the crisis has provided SRJ with significant opportunities to sell its containment solutions to operators that are looking for ways to extend the life of existing assets rather than replace them.”
SRJ said that, among the broad mix of institutional and retail interest, existing investors in the company Ellerston Capital and Regal Funds Management took “strong” additional positions.