IOI Properties says potential SGX listing still under evaluation
IOI Properties Group Bhd has clarified that a potential secondary listing on the Singapore Exchange remains under management evaluation, with no formal proposal submitted to its board. The group also noted it has appointed DBS Bank and Jefferies as advisers for a private fund to monetise its Singapo
PETALING JAYA (Oct 14): IOI Properties Group Bhd (IOIPG) said a potential secondary listing on the Singapore Exchange (SGX) remains under management evaluation, with no formal proposal submitted to its board for consideration.
In a Bursa Malaysia filing on Tuesday (Oct 13), the group clarified remarks attributed to its group chief executive officer in an article titled “IOI Properties in talks for secondary listing on SGX”, published by The Edge Malaysia and The Edge Singapore. IOIPG said the remarks concerned management’s consideration of potential capital market initiatives, including the possibility of a secondary listing on SGX.
Management will continue to assess opportunities based on their strategic merits and potential benefits to the company and its shareholders, including the potential for its securities to be traded in different jurisdictions. Any proposal recommended by management will be submitted to the board for approval and will be subject to applicable regulatory requirements, the group said. IOIPG added that it will announce material developments in accordance with Bursa Malaysia’s Main Market Listing Requirements.
The Edge Singapore’s Oct 9 report quoted group chief executive officer Lee Yeow Seng as saying he had met SGX chief executive officer Loh Boon Chye, whom Lee described as receptive to the idea of a secondary listing. The report noted that IOIPG has been listed on Bursa Malaysia’s Main Market since January 2014 and had a market capitalisation of about RM18.6 billion as at Oct 8.
On a separate note, Lee told The Edge Singapore that IOIPG had appointed DBS Bank and Jefferies as advisers for a planned private fund to monetise its Singapore assets. He identified IOI Central Boulevard Towers and the office component of South Beach Tower as potential assets for the fund, while describing the more recently acquired Asia Square Tower 2 as less mature.
Lee said exploring a real estate investment trust (REIT) after launching the private fund would be a natural progression. He viewed a private fund as offering greater flexibility and a shorter launch timeframe than a public REIT. The report also highlighted the expansion of IOIPG’s Singapore commercial property portfolio through the completion of IOI Central Boulevard Towers, the purchase of City Developments’ stake in South Beach and the acquisition of Asia Square Tower 2.
