LOGAN, UTAH - Naco Industries Inc., a Logan-based maker of PVC pipe fittings with $5.4 million in annual sales, is going public by selling shares in six states. Company officials hope to begin national trading by the end of the year. Naco fabricates fittings for agricultural and construction markets using components bought from outside suppliers, including extruded lengths of PVC pipe and injection molded parts. The firm has plants in Logan; Garden City, Kan.; and Lodi, Calif.
Naco reported $5.4 million in sales and $88,270 profit for the fiscal year ended Feb. 28.
A July 12 prospectus said Naco stock is registered to be sold in Utah, Washington, Idaho, Illinois, Colorado and New York. Proceeds are being held in an escrow account until Naco reaches its minimum-offering level of $600,000, said Jeff Kirby, controller. Once the initial public offering is completed, the stock will be traded on the Nasdaq electronic bulletin board, he said.
Naco will use proceeds from the IPO to buy new equipment, to cover costs of the offering and commissions and other expenses, for use as working capital and to conduct marketing activities, the prospectus said.
The equipment is needed to make larger fittings, with diameters from 27-36 inches. Also, the firm is developing fittings, made from fiber-reinforced plastics, for high-pressure applications.
Public Securities Inc. of Spokane, Wash., offers the stock.