Lum Chang Creations, spun off Lum Chang Holdings, has launched its initial public offering (IPO) at 25 cents per share, with a view to raise gross proceeds of $8.75 million.
One million shares will be available in the public tranche and another 34 million new shares to be sold via placement. In addition, there will be another 14 million in vendor shares. Including the vendor shares, the company seeks to raise a total of $12.25 million in proceeds.
With a total share base of 315 million, the company's market capitalisation based on the IPO price will be $78.75 million.
Based on its post-invitation FY2024 earnings per share of 1.5 cents, this IPO is priced at 16.7 times historical earnings. EPS for its 1HFY2025 was 1.69 cents.
The company describes itself as “one of the leading urban revitalisation specialists in Singapore”.
“Lum Chang Creations has grown rapidly and we have built a strong presence in the industry, especially in the conservation sector,” says Lim Thiam Hooi, Lum Chang Creations’ managing director, in an earlier interview with The Edge Singapore.
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The invitation opens on July 9 and will close at 12pm on July 17. Lum Chang Creations' shares are expected to start trading at 9am on July 21.
