Presentation is loading. Please wait.

Presentation is loading. Please wait.

Information on IPO in Singapore. PROFILE OF SINGAPORE EXCHANGE LISTING REQUIREMENTS.

Similar presentations


Presentation on theme: "Information on IPO in Singapore. PROFILE OF SINGAPORE EXCHANGE LISTING REQUIREMENTS."— Presentation transcript:

1 Information on IPO in Singapore

2 PROFILE OF SINGAPORE EXCHANGE LISTING REQUIREMENTS

3 A Pan-Asian Market Number of Listings As at end Sep 2000

4 Foreign Enterprises Share of Capitalisation As at end Sep 2000

5 Sectoral Classification of Companies listed on SGX The manufacturing sector includes the electronics sector

6 A Pan-Asian Market Number of 1999 IPOs For year ended Dec 1999

7 A Pan-Asian Market 1999 IPO Proceeds For year ended Dec 1999

8 Year 2000 Foreign Listings Philippines –Ionics PRC –Cytech Software Malaysia –Nucleus –PK Tech New Zealand -Brierley Australia –Easycall Hong Kong –Kingboard –I-Comm Technology –Kyosha –Lafe Technology –Giant Wireless –North 22 –FDS –Jadason United States –Reed Group

9 Funds Raised By Companies listed in 2000 Number of companies Funds Raised (S$)

10 Market Capitalisation of Companies listed in 2000 Number of companies Market Cap (S$)

11 Turnover Velocity Source: Federation Internationale Des Bourses De Valeurs Dollar Turnover/Market Cap

12 Ease & Efficiency of Trading Overseas investors can trade SGX listed shares through the Internet Announcements by listed companies are available real time on the SGX website A T+3 settlement period for trades done

13 Establishment of an electronic link with Australian Stock Exchange to cross trade SGX and Australian listed stocks Joint Venture with Amex to trade Amex listed exchange traded funds on SGX MOU with NSE and IISL to trade futures contracts based on S&P CNX Nifty Index MEASURES TO ATTRACT GLOBAL PARTICIPATION

14 July 2000 : - Opened the membership for new clearing members to perform trading & clearing services - Allow dual membership of both securities & derivatives markets October 2000: Brokerage rates are now freely negotiable

15 Flexible Rules…

16 Accounting Standards Singapore Statement of Accounting Standards International Accounting Standards US GAAP

17 Domicile & Base of Operations Free choice of domicile of listed company –Eg. Bermuda …[Non exhaustive] No need for operations in Singapore Two independent directors, one resident in Singapore

18 Choice of Currency Free choice of trading currency. Some of the more popular choices among foreign companies: –S$ –US$ –HK$.. (non-exhaustive) Choice of functional and/or reporting currency: –S$ –US$ –Rupee.. (non-exhaustive)

19 Investor Confidence International standard of disclosure and corporate governance Well regulated financial intermediaries Sound financial system

20 Resilience Index Asian economies vulnerability to a US slowing Source: SocGen Securities Research (May 2000)

21 Ease of Access to Capital Market

22 Strong presence of foreign & local fund managers (664 fund managers & 249 investment analysts) Total funds managed (End of 1999) =S$246.2 billion Venture Capital Funds (1999) Raised = $1.4 billion Managed = $10.2 billion Availability of Funds

23 PROFILE OF SINGAPORE EXCHANGE LISTING REQUIREMENTS

24 SGX-Mainboard Listing Criteria

25 Moratorium (Lock-up) Promoters: - Controlling shareholders and their associates - Executive directors who own 5% or more upon listing Vendor share sales allowed at IPO

26 Why list overseas? Need global currency for overseas expansions or acquisitions Allows foreigners to invest in your shares Ability to grant employee share options to employees abroad Attract funds from Non-Resident Indians Raise profile of company abroad

27 Cost of Listing on SGX Initial Listings Fees: maximum of US$11,700 Annual Listing Fees: maximum of US$1,170 Generally Total Cost of Listing = 5% of proceeds raised

28 Stock Exchange Profile Singapore Exchange offers… A Pan-Asian market Well regulated, stable and transparent Access to liquidity & capital Accessible market & flexible rules Low issuance cost

29 ...In comparison, proportion of foreign companies listed on HKSE As at end Aug 2000

30 Rule Advantages.. Comprehensive listing criteria Flexible rules Equal treatment with local companies Choice of listing currency

31 Flexible Listings Options

32 List on SGX to raise capital to build out business model in Asia Enable foreign investors to invest in your shares round the clock Access investors both in US and Asia in two steps to enhance fund raising SGX Then NASDAQ/ NASDAQ Then SGX

33 Simultaneous SGX & NASDAQ Business model sufficiently developed for US market Obtain US valuation, access liquidity both in US and Asia Avoid becoming orphan stock on NASDAQ Lower listing cost- one prospectus for both => Access investors simultaneously in US and Asia to enhance liquidity, valuation and minimise listing cost

34 Share Price Performance on NASDAQ vs SGX

35 CSM Volume Traded on NASDAQ vs SGX (adjusted for the difference in number of shares offered in the 2 markets) Total invitation: 250 mil shares US & International offering : 225 mil shares Singapore offering : 25 mil shares (10% of total invitation)

36 ST Assembly Volume Traded on NASDAQ vs SGX (adjusted for the difference in number of shares offered in the 2 markets) Total invitation size : 170 mil shares US & international offering : 153 mil shares Singapore offering : 17 mil shares (10% of total invitation)

37 Thank You SGX website:


Download ppt "Information on IPO in Singapore. PROFILE OF SINGAPORE EXCHANGE LISTING REQUIREMENTS."

Similar presentations


Ads by Google