Chart of the day: Check out the roaring start of Singapore’s IPO market

On back of 5 Catalist and 3 Mainboard listings.

Singapore’s local bourse, Singapore Exchange (SGX) stormed out of the gates in 2016 in the initial public offering (IPO) market, showing positive improvements with a total of 8 IPOs compared to only 3 in the first half of 2015.

According to a report by Deloitte, the SGX raised over $1.6b in proceeds in the first half of 2016, achieving a market capitalisation of more than $2.2b.

“This is more than 29 times of total funds raised in 2015 H1, which was only S$56m,” the report noted.

Meanwhile, the report added that most of the funds raised in 2016 was attributable to the listings of Manulife US REIT and Frasers Logistics & Industrial Trust, each raising S$650m and

S$903m respectively, as compared to BHG REIT, the only Mainboard listing in 2015 that raised S$276m.

“An interesting trend observed in the past four years is that the number of IPOs in the second half of the year far exceed that of the first half, sometimes more than doubling,” Deloitte noted.

“Typically, the biggest contributor to total funds raised are the REITS and Property Trust listings, as illustrated in the following two charts that depict the trends observed over the period of 2011 to 2016 H1,” it added.

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