Competition in technology consulting services in Thailand is expected to intensify as players ramp up investment and raise funds in the stock market.
G-Able Group, an IT and digital solutions provider, recently sent a filing to the Securities and Exchange Commission for the initial public offering (IPO) of its 175 million shares, or no more than 25% of its total shares.
It named Finansia Cyrus Securities as financial advisor.
Tech consultancy Bluebik Group, which is listed on the Market for Alternative Investment, recently announced investment of 1 billion baht to acquire other tech companies to scale up its capacity.
The IT consulting market in Thailand has seven key players and dozens of smaller ones. They are competing in this burgeoning market as organisations embrace technology to grow.
Chaiyuth Chunnahacha, chief executive of G-Able, said the fundraising in the stock market will propel the company’s growth through further investment in potential businesses that can create new revenue sources and minimise the risk of market volatility.
The funds could also help the firm pay back loans from financial institutions and serve as working capital, he said.
“The key to a tech enabler is to understand customer needs to drive their competitive advantage through technology,” said Mr Chaiyuth. “We can offer more value and new business models for them.”
According to him, technology businesses require constant improvements to be in line with new trends.
G-Able, which has been operating for more than 33 years, has three core services, comprising enterprise solutions, value-added distribution provider and software platforms.
Earlier this month, Bluebik announced its investment in the digital delivery unit of SET-listed MFEC, which is a one-stop IT consultancy and developer, and Innoviz Solutions, a tech consulting firm and implementor of the Microsoft Dynamics 365 ERP (enterprise resource planning) solution.
The investment cost is more than 1 billion baht, according to Bluebik.
The two investments will increase the tech talents at Bluebik from 350 to 780 and support its business expansion in and outside the country, according to Pochara Arayakarnkul, chief executive of Bluebik.
Bluebik acquired the digital delivery unit of MFEC with proceeds from its IPO, operating cash flow and additional fundraising, he said. The process is expected to be concluded in the first quarter of 2023.
The investment in Innoviz will help strengthen the growth of Bluebik as ERP is the key to greater productivity and business flexibility, said Mr Pochara, adding it is a must for the digital transformation and sustainable growth of leading organisations.