Borntras Thailand Co, a maker of beauty products, plans to list on the Market for Alternative Investment (MAI) within the next two years to raise funds for future expansion.
Apiradee Kositthakul, the company's chairman, said the company wants to raise 100 million baht to install new machines and expand production capacity for beauty products and food supplements at two factories in Pathum Thani and Ayutthaya.
The capacity expansion aims to cash in on growing demand for beauty products in both domestic and international markets, as well as the company's own brand.
Phillip Securities Thailand is the company's financial adviser.
Borntras Thailand was set up 10 years ago as a subcontract manufacturing company for natural skincare. It produces natural products for Thai brands and several well-known brands in more than 20 countries, including the US, Germany, Britain, Spain and the United Arab Emirates.
"Regardless of the economic situation, demand for beauty products continues to grow," Mrs Apiradee said. "As more of the younger generation long to become entrepreneurs, some days I get contacted by 100 people who want to make skincare brands. This has made Thailand's beauty business a red ocean market."
There are 3,000-4,000 skincare brands in the Thai market at the moment, she said.
Market research company Kantar Worldpanel Thailand estimates the Thailand beauty market at 57 billion baht, up 3.8% on the previous year. Of the total, 40% is facial care, 33% is haircare, 16% is makeup and 11% is body care.
She said beauty products from Thailand are widely accepted worldwide, particularly in China, thanks to their high quality.
The company aims this year to beef up business expansion in China, notably through roadshows.
With a decade of experience in beauty market production and mounting price pressure from the international market, Mrs Apiradee last year decided to launch her own brand.
"Because of fierce competition, we will gear towards the blue ocean by approaching the market for natural-based skincare formulas," she said.
V Nature products are available at some 7-Eleven branches to test market response, targeting students and first-time workers.
V Nature will be available in Mistine's Friday catalogue, health and beauty stores, and supermarkets next month.
The company had sales of 200-250 million baht last year. Of total sales, roughly 60% are from its own brand and original equipment manufacturer businesses.
Borntras predicts sales will jump to 1 billion baht by 2020.