SINGAPORE: Analysts are upbeat about Singapore’s initial public offering (IPO) market in the second half of the year, with the upcoming NetLink NBN Trust IPO expected to bring total capital raised to S$2.8 billion this year.
This will exceed 2016’s S$2.3 billion and the S$500 million posted in 2015.
NetLink Trust is the biggest IPO in Singapore in six years and is expected to raise about S$2.3 billion in fresh capital. Last Monday (Jul 10), it announced its IPO price at S$0.81, putting its market capitalisation at about S$3.1 billion.
NetLink Trust is the fibre broadband business unit of telco SingTel.
Earlier IPOs in Singapore this year include the listing of coffee shop operator Kimly, as well as events production firm UnUsUaL.
Deloitte Singapore’s Dr Ernest Kan said the familiarity of these companies is one reason their IPOs have done well.
An example is food and beverage company Jumbo Seafood, which was listed in November 2015, and ended its first day of trade with a 36 per cent increase in share price, he said.
“So that’s another household name, very famous, and people tend to relate to these stocks better,” he said.
Kimly and UnUsUaL are the two best performing stocks among new issues this…