Aspial Lifestyle (SGX:5UF
) has applied to transfer its Catalist listing to the Mainboard, in bid to reach out to a broader and more diversified investor base and enhance the company’s image, among other reasons.
Based on Mar 4 closing price of 36.5 cents, the company is valued at $675.7 million in terms of market capitalisation.
In the Mar 4 announcement, Aspial Lifestyle mentioned that the company has recorded a steady improvement in its net profit attributable to owners of the company, from approximately $14.4 million in FY2021 ended Dec 31 to approximately $80.7 million in FY2025.
Aspial Lifestyle believes that with the transfer in listing status, the company could enhance its ability to access both equity and debt capital markets to support future funding requirements and allow greater financial flexibility to pursue expansion opportunities.
Apart from that, Aspial Lifestyle says that the proposed Mainboard listing will not only provide greater visibility and recognition in the capital markets, but also enable them to recruit better talents, strengthen its brand and attract new business opportunities.
With regards to the proposed transfer, Aspial Lifestyle is required to increase its public float to meet the minimum shareholding spread requirements.
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As such, its controlling shareholder, Aspial Corporation Limited (ACL), has expressed its intention to dispose of part of its shareholding to facilitate the requirements.
ACL has agreed to sell up to 10 million vendor shares at a sale price of 34 cents per share, according to a March 4 vendor shares sale mandate with SAC Capital.
The sale price represents a discount of around 5.0% to the volume weighted average price of 36.13 cents for the full market day on Mar 4.
The transfer is subject to approval by shareholders and SGX, among other conditions.
Shares in Aspial Lifestyle closed 0.5 cents lower, or 1.35% lower at 36.5 cents on Mar 4.
