Singapore Press Holdings Ltd. and Overseas Union Enterprise Ltd., both of whom operate luxury retail malls in Singapore, are going for an IPO at the same time. Analysts expect both companies to struggle over investors.
Singapore Press, a newspaper publisher, revealed plans that it was aiming for SGD504 million from the initial public offering of a real estate portfolio that included the Paragon mall. However, on the same week, Overseas Union reported that it was hoping to raise up to SGD614 million in a market debut that will include the Mandarin Gallery mall.
The two initial public offerings are being offered to investors only after three weeks global stocks dipped to a four-month low. The contraction even forced companies including Hopewell Hong Kong Properties to defer their listing plans.
"If they're going to list about the same time, they will compete for the same pool of investors. But if you leverage on the private wealth side, and if market conditions stay the same right now, it should go through," an analyst at Maybank Kim Eng Research said.
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