Hyflux gets a boost, upsizes CPS offering to S$400mln

The company's management has allocated S$200m to the public tranche as a result to the "overwhelming response" for the company's recent 6% CPS.

Positive feedback from investors drove Hyflux to double the offering price from S$200mln to S$400mln.

Of the fund, S$10mln has been allocated for the management and staff under the reserved portion and S$190m for the placement tranche.

More than 70% was allocated to private banks, while the rest went to asset managers and banks.

The CPS has also done well on its debut on April 26, closing up 3.0% at S$103.02, which translates to an effective dividend yield of 5.8%.

"We view the strong response from the investment community (S$1.4b for the placement tranche) as well as the public (S$1.0b) as a good endorsement of the group and its business model," OCBC Investment Research said.

The bank said the "upsized" offering is a "big boost" to Hyflux's balance sheet, and estimates the company to receive as much as S$396mln of net proceeds.

80% of the proceeds are seen to fund Hyflux's water and infrastracture projects, while the remaining 20% will be allocated as its general working capital.

Also Read

Consumer watchdog warns Purexygen for unfair practices

Everbright Water advances further with Qingdao Zhangcun river project

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit