Its publicly offered shares were 24.6 times oversubscribed.
PropNex Limited’s (PropNex) initial public offering (IPO) of 42,500,000 shares at 65 cents each was 2.2 times oversubscribed.
According to an announcement, PropNex received 1,796 valid applications received for the 2,125,000 offering shares available to the public. These applicants applied for 52,240,200 shares, indicating that the offer was 24.6 times subscribed.
Meanwhile, all of the 40,375,000 shares for private placement were fully placed out. Cornerstone investors also entered into cornerstone subscription agreements with PropNex to subscribe for an aggregate of 50,000,000 shares at 65 cents each.
The cornerstone investors for the Offering are: FIL Investment Management (Hong Kong) Limited (12,350,000 shares); NTUC Income Insurance Co-Operative Limited (9,050,000 shares); Affin Hwang Asset Management Berhad (7,500,000 shares); Samsung Asset Management (HK) Limited (7,500,000 shares); Value Partners Hong Kong Limited (7,500,000 shares); and Nikko Asset Management Asia Limited (6,100,000 shares).
PropNex intends to use the net proceeds of $38m primarily for local and regional expansion through mergers and acquisitions, joint ventures and partnership strategy, enhancement of real estate brokerage business, expansion in the range of business services, enhancement of technological capabilities, and working capital purposes.
PropNex is considered the largest home-grown real estate agency in Singapore with 7,248 salespersons as at 6 June 2018. It has a leading market share of 42.7% in the residential primary private market in 2017.
The listing and trading of PropNex shares is expected to commence on a ready basis at 9 a.m. on 2 July 2018.
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