Singapore has launched the Singapore International Commercial Court which seeks to bring foreign commercial cases to be heard in Singapore. The Kluwer blog has done a good job describing the mechanism of how such litigation would take so I will not deal with those points but will deal with the practical commercial reasons to have your dispute heard in Singapore Courts.
Singapore is well known for efficiency and speed in dealing with commercial legal disputes and the setting up of the SICC would further allow parties to have their cases heard in Singapore. This article will set out some practical reasons why parties would want to commence proceedings in the SICC instead of the country where the business operations of the disputing parties may typically be found:
a. Singapore has become the second largest wealth management centre in the world. Most people say yes I know this, but fail to realise that the implication of this is that a judgement from Singapore can be readily enforced against the tycoon assets which may be sitting in Singapore (if such assets are held in their names). As most people would realise, you don’t want a paper judgement but you want something that can be enforced against.
b. Singapore is well known to be fair in terms of hearing cases and the rule of law is very strong in Singapore with a very strong stance taken against corruption so the possibility of bribing judges to get a favourable verdict is much less possible in Singapore as compared to the rest of Asia.
c. Singapore has taken great strides to impose key performance indicators on the judicial system by introducing a docket system which tracks how fast cases are progressing through the judicial process. Such tracking helps to speed up the hearing of cases and grant speedy justice to would be applicants.
Most businesses in Asia love to deal with their legal battles speedily and focus on making money in their businesses. We would suggest that the SICC is a great approach in that direction to help the tycoons of Asia deal with their legal battles speedily.
Singapore has done well with the Singapore International Arbitration Centre and we predict using its marketing dollars in a similar way will make a success of the SICC.
Do you think the SICC will ultimately be successful?
Singapore Shop houses
Reverse Takeover Transactions (RTO Transaction) in Singapore
Happy Chinese New Year of the Goat to all my readers! This year looks bad on the economic climate for the second half of the year but this also means assets are getting cheaper valuations which means more RTO transactions may be in the pipeline. I been getting several calls on this. Further to my earlier post on Reverse takeover Transactions in Singapore, there have been several new RTO Transactions in Singapore and this write up will analyse some of the commercial considerations when structuring RTO deals.
As we write previously, in a IPO transaction, a businessman restructures some assets under a holding company and lists that holding company on the Singapore Stock Exchange.
In a RTO transaction, there is an existing listed company (the “Listco”) that has an existing asset (“Existing Business”) and the parties can carry out either one of the following:
(a) The Listco acquires the new business (which is usually unlisted) (“New Business”) and merges it with the existing business so as to achieve strategic synergies;
(b) The Listco acquires the New Business and the original major shareholder buys his Existing Business using a private company vehicle that he owns;
(c) Or if the Listco’s original business has been sold prior to the RTO, then the Listco will change name after the acquisition of the New Business to reflect the name of the asset acquired.
From the asset perspective
Some benefits of a RTO transaction from the perspective of the asset owner:
- An acquisition via an RTO allows the asset to be sold into a listed company and multiples that of profits as opposed to a mere discounted cash flow valuation that you may expect for a normal merger and acquisition;
- An acquisition via an RTO allows the owner of the asset to have liquidity (i.e. he can sell down part of his stake in the asset);
- A listed parent allows the company/group to borrow at a lower interest rate. In some transactions that we have done, the post IPO/listed entity can sometimes borrow at a much lower interest rate;
- From a China perspective, this overseas listing allow china business owners to move their money/assets overseas on a more fluid basis rather than having to do the usual 内保外贷 (pledge assets in china as security and then borrow offshore in Singapore);
- An overseas listing allows the China entity a reason to invest overseas and expand overseas from a china compliance perspective. The State Administration of Foreign Exchange (SAFE) (国家外汇管理局). This also grants the China entity a reason to move funds overseas to expand into foreign projects and also a good reason why funds should stay offshore. An overseas listing allows the group to raise offshore money and keep it offshore as well to do foreign projects;
- Once the group is large enough, a foreign listing allows the group to issue bonds and investors will have better confidence if the group is well run from a corporate governance perspective (which is done as part of the RTO/IPO process).
From the listed entity perspective – Why RTO
Some benefits of an RTO from the owner of a listed company:
- You get to realise value from your existing listed company shell;
- You can avoid having to pay money for additional compliance for a continued listing;
- If you find a good assets for your listed company, your existing shares held in the company may be worth more in the future.
An analysis of the listed company shells available in Singapore now
So if you have an asset that you think is sizable that you think you can inject into a Singapore listed company, the question then is what types of listed shells are available in the Singapore market? Here are some of my observations and each case is different so please seek investment advice for your particular situation:
||Types of Singapore Listed Shells
||This is typically expensive and pricing depends on whether a main board shell or catalist shell.
||Loss making company (not on watchlist)
||This is typically cheap but has a lot of liabilities so the asset that wishes to acquire this shell must be prepared to provide financial support for the underlying business.
||Loss making company (on watchlist)
||This is typically very cheap but has a lot of liabilities so the asset that wishes to acquire this shell must be prepared to provide financial support for the underlying business.
If the Company is on the SGX-ST watchlist there is a clock ticking (under the Exchange Rules) so the board knows that if it does not do a deal soon, it will be delisted and all the existing shares in the company would become worthless.
However incoming assets should note that SGX-ST is conservative so they would rather let a transaction die then let a bad asset be injected into a Singapore listed company as that would be bad for the investing public.
From the Listed Company perspective
Given the current “uncertain to downturn view” of some of my finance friends in respect of the global economy, the best assets for a RTO are defensive assets such as food and drink companies or assets of monopolistic companies like China State Owned Enterprises which typically are profitable and are not subject to major economic cycles. However from a practical perspective, RTO Transactions take a long time to complete and the incoming asset typically needs to be prepared to spend money on professionals and also put aside money to back the typically weak listed company. Thus, this leads me to the view that RTOs are useful for large conglomerates with deep pockets and can sit through the RTO process.
Why not list your company on the SGX-ST via an initial public offering?
Singapore in recent years sources IPO deals from several places. Many of the large assets/companies in Singapore have already been listed on the SGX-ST. The SGX-ST receives some applications each year from Singapore companies and does not need to do any business development in Singapore for listings.
Thus, it focuses its business development efforts for IPOs outside of Singapore. Many of these overseas listings in Singapore are from China, you may ask why? This is because CSRC (the China equivalent of MAS) has frozen IPOs for a long time in China and only recently allowed new IPOs into the China Market. Any Company that wishes to IPO outside of China needs to get approval from China Securities Regulatory Commission CSRC (中国证券监督管理委员会) (save for those that were restricted offshore in the early days). CSRC was last rumoured to have 400 applications for IPOs on its desks and that was before the IPO market was closed in China. Can you imagine how much backlog CSRC has to clear?
Thus, for liquidity purposes (the bosses of China companies want to sell their shares overseas, get cash out of China and then maybe retire overseas after the period of witchhunting following the Bo Xilai and Zhou Yong Kang arrests in China).
In conclusion, RTOs are set to stay in Singapore and it is really a shame that most of the large IPOs in Singapore in the last few years are Real Estate Investment Trust Deals.
Do you have any views on the feasibility of RTOs in this second half of 2015?
Singapore’s traditional business ventures are now expanding into the dot-com space.
Reading the Edge Singapore today and Asiaone, I noticed that Singapore eDevelopment, formerly CCM is aiming to be the next Tencent and Alibaba. This is a Singapore listed company (run by an Ex Wall Street Banker) and who is expanding the company into the Mobile Messaging space (think QQ Messenger/Line/Whatsapp).
This is a good development whereby technology companies are seen to be profitable companies by the financial sector and are officially listed so adding legitimacy to the sector. I think if not wrong this may be the first listed company (Other than Creative) to move into the technology space in a large way in Singapore.
Hopefully more of the established companies can set up technology arms and spin them off into large listed companies to boost the prestige and inspire another generation of Dot-Com Entrepreneurs in Singapore.
This is probably one of the first few Singapore Listco led Technology expansions in Singapore.
The opening of the China IPO Market, Private Equity Divestments for China Assets and its impact on listings in Singapore.
On 30 November 2013, the China Securities Regulatory Commission (CSRC) announced that is was opening the door to IPOs in China again. Following from this, many private equity investors holding PRC assets have started to consider the potential to exit their China Private Equity Investments by listing their companies either on the Shenzhen Stock Market or the Shanghai Stock Market. However in the past 10 years, out of 9,000 deals done in China, in more than 7,500 cases, most of these Private Equity Firms (PE Firm) are unable to cash out on their investments. See more.
One key reason is that the there is typically a queue of 760 companies in China waiting for approval from the CSRC and typically only 50 would be ready by 2014 and ready for IPOs in China. Following from this, what then is the answer for a PE Firm looking to exit its investment in China? They can go to Hong Kong which has a higher price to earnings ratio and higher liquidity in trading, but in recent times due to the influx of China IPOs, the Hong Kong exchange prefers larger IPO deals to clear. If your company is smaller, then an issuer can consider either going to AIM in London to list or to Catalist in Singapore to list.
Ultimately the question is where the listed company thinks its investors would reside and what risk they prefer. AIM in London lists shares all over the world but we in Singapore tend to think that there are more money managers in Singapore that know how to value stock so if your listed company has a PAN asian footprint, a listing on Catalist or on the main board of the Singapore Exchange would be a good idea.
Thus, given this set of developments, although Singapore stocks may trade at lower price to earnings ratios/multiples, Singapore may be the best place or way for a PE Firm to divest of its PRC assets in the short to longer term.
Since the recent USD 200 million exit of Viki in Singapore to Rakuten, many companies keen to tap on the Singapore startup eco-system and funding have been coming to Singapore to set up shop. The Singapore government has extended several schemes to boost the funding eco-system in Singapore and to attract startup companies/founders to Singapore which is a laudable effort and a good step in the right diretion.
Having spoken to many venture capitalists and startups during the course of my work and looking at how they exited and were organised, I have three ideas that startup founders can consider to super charge their startup efforts:
1. The founding team has to be top-notch
Each startup needs to figure out what its core business is and find a team that can fulfill that vision of what it is in business for. A strong CEO, Coding head and a finance person is key for every startup to realize such a vision. Ideally you should have a cross national team or people with knowledge of more than one large market (i.e. Singapore is not a large market. See the paragraph below).
2. The Vision of a Startup has to Be USA, China or India Focused
A startup needs to have a US, China or India focused strategy no matter whether it is located in Singapore or elsewhere otherwise you will not get good valuations when seeking investors. In Viki whilst it was located in Singapore (as it is cheaper place to do business than in the US, the founders were keenly aware that the market was the US market). That’s why you need to spend your energies forming a cross function/cross geographical (see above) team.
3. The Market that the Startup Focuses on has to be a large one
By market we mean a specific demographic group in a particular country. Many people have untargeted business ideas and intend to sell to everyone. That results in the business dying a premature death as the initial funding would have run out and the revenue would not cover the expenses of the startup.
Find a targeted niche market first to establish a cash cow revenue stream then once that is in place look for other niches to expand into. Obviously if you are the largest in your niche market you are in a great and advantageous position.
Singapore is a great place to do business, but as long as the founders of a startup have the big picture in mind, the sky is the limit.
If you need corporate strategy/dot-com growth help, funding connections or legal help in this area, do contact us.
A Singapore Legal Services provides several advantages to companies and organizations all over the globe. Some of the significant advantages in having a Singapore Legal Services are listed below.
• Creating Singapore Legal Practice does not express the picture of a tax sanctuary. As such, starting banking accounts in other nations becomes easy. International financial institutions will know that an overseas organization set up in Singapore is completely lawful and subject to tight rules and laws and regulations.
• Even though Singapore is not seen a tax sanctuary, establishing up a type of organization in Singapore does offer significant tax advantages. International earnings of business organizations can be moved to Singapore without difficulty and tax advantages can be experienced.
• Singapore is considered as one of the best overseas support areas. Applying an organization in Singapore is increased by the remarkable facilities in current technology, very good governmental balance and support, and outstanding lawful environment with full privileges.
• The significant legislation that regulates business organizations authorized in Singapore is The Companies Act and The Earnings Tax Act. Hence, the signing up of a Singapore overseas organization is not a complex or complex procedure.
• The organization can sign-up itself as a citizen organization or a non-resident organization. It can also sign-up as an international division function or simply as having an associate office.
• The does not normally encourage any limitations on economical dealings and funds transfer of Singapore overseas organizations However, organizations that are relevant to economical services, media, education and other delicate company functions that can have an impact on the state policies and picture of the isle are carefully supervised and their dealings are regularly scrutinized.
• A Singapore Legal Services loves all the abilities as a natural citizen or an organization.
• Since British are the main formal language, the various legislation and the rules are easily available in British. The business records can also be presented in British and will be approved as such by all the relevant regulators. This helps an easier signing up procedure for the Singapore overseas organization.
The above points demonstrates how starting and working in Singapore Legal Services that offers tremendous advantages to all kinds of organizations and business owners from all over the globe. Singapore has appeared as a significant global economical center, and provides an efficient home for organizations across a wide range of company areas.
If you are considering starting an overseas consideration and are concerned about comfort or are considering moving a current private consideration, analyzing Singapore as a location is worth your time and energy. Below here three reason that you should consider Singapore Legal Services.
First of all, Helpful to Investors – The past several years Singapore Legal Services has been working to develop and enhance the isle as a globally cost-effective center. Singapore is identified in the globally international cost-effective industry as having an investor helpful controlling environment and legal system. Singapore’s cost-effective controlling and legal systems are considered as some of the most investor helpful anywhere on the world. The rules stress account holder’s convenience an essential point for many globally investors and Singapore Legal Services dedication to providing quality personal and professional support is unique among personal cost-effective places. Based on your personal cost-effective needs one of Singapore’s many personal cost-effective office buildings may well confirm to be an ideal personal cost-effective opportunity for you.
The second is Fast Development and Financial Stability – Singapore is the South Eastern Oriental center for finance, business, and business and is a significant component to the region’s economic growth and balance. Singapore is the home to many personal organizations and personal segments of globally cost-effective organizations. In fact, Singapore Legal Services making an investment industry is improving so quickly the city now has a school called the “Wealth Control Institute” completing professionals particularly qualified for the complications of modern personal cost-effective.
Thirdly, Multi-Service Personal – Singapore Legal Practice provide cost-effective and personal alternatives on a range of issues designed particularly to serve those with significant sources as well as traditional cost-effective alternatives such as charge and credit functions and loans. The workers are also certified to assist with estate planning, income and personal tax assistance as well as investment strategies and sources investment strategies. Other alternatives provided through Singapore personal cost-effective organizations include online cost-effective, electronic and cable transfer alternatives, trustee alternatives, funds management, credit and trade finance characters, currency trading and business management.
Singapore Legal Services are identified by the efficient, effective alternatives they provide and the well-mannered style and manner in which their staff provides these alternatives. The level to which Singapore Legal Practice has been successful in wooing the person market is verified by the number that has started out office buildings in Singapore.
Investment Opportunities Abound in Singapore Markets
Singapore is fast becoming a major business mecca. With an open-door policy on immigration, relatively low tax rates, free trade agreements, Investment Guarantee Agreements and business-friendly policies dominating the marketplace, Singapore is gaining ground as the place to be for entrepreneurs. It currently ranks among the top locations in Asia for starting a business.
The amenities available in Singapore are also attractive to enterprising individuals. Banking is modern, as are the office buildings that are springing up. There is also plenty of culture, along with plentiful opportunities for mingling socially, making Singapore more of a draw for foreign investors who wish to immigrate with their families.
Business in Singapore
Eliminate Confusion with Good Preparation
Although it’s relatively simple to start a new business enterprise in Singapore, if you haven’t taken the right steps to prepare yourself, you’re going to get frustrated and confused. Read on for pointers on which applications to use, how to get your applications started and the beginning steps to getting your business going in Singapore.
Familiarizing Yourself with the Country is Important
Singapore is very culturally and ethnically diverse. It is important to educate yourself about these various cultures if you want to have a successful business in the country. Ensure that you understand at least a large swath of the culture around you. There are several sites online that offer information on how investment is carried out in Singapore that make this step fairly simple.
Understanding the culture and the country will help you lay a sturdy foundation for your new business. While you are researching these other topics, take a little time to get acquainted with the regulations that exist for the type of business you want to have. Do a little market research. Starting a business in any country requires planning, research and hard work. Think of it as your learning curve. It’ll help a lot in the long run.
Take the time to build a great business network prior to trying to launch your business, too. Your contacts can help you in many ways, including walking you through some of the steps of registering your business and offering consultation about running a business in Singapore.
Understand the Steps Regarding Immigration
You’ve done your research and decided that you definitely want to make the investment to start a business in Singapore. Now you’ll need to make your way through the process of obtaining all the relevant visas (immigration passes) that will allow you to enter the country to begin and maintain your business.
The entrepass is a popular option allowing a registered business owner to live in Singapore along with their family. Individuals who may travel into and out of the country on a regular basis may need a multiple journey visa. It is also advised that individuals who hire employees from their own country to consider obtaining Employment Passes or Work Permits for those employees.
Define the Legal Form For Your Business
Singapore law allows for several different business types. These usually follow some classification based on the limitations implied, whether they are a private or public entity or their management structure as in partnerships and limited partnerships.
Businesses may be limited by shares or guarantees, or they may function without those types of limits. Private businesses have restrictions placed on their shares prohibiting the transfer of shares between shareholders. They cannot have more than fifty shareholders. Public businesses do not have this type of restriction. Shares may be sold, transferred, exchanged and advertised as needed or desired.
Most business entities in Singapore operate under the banner of Private Limited Companies (PLCs) and the focus here will be on this type of business.
The government agency tasked with oversight of new business registrations in Singapore is ACRA, or the Accounting and Corporate Regulatory Authority. ACRA has specific rules that must be followed when registering or incorporating a business and it is important to make sure you understand them.
- At least one director of the business MUST reside in Singapore.
- A physical address in Singapore is required; post office (P.O.) box addresses are not allowed.
- The business must possess a minimum of S$1 in paid up capital.
- The secretary for the company has to be a natural citizen of Singapore.
- Passports, special Director’s resolution certificate of incorporation and identification documents will be required of the director or shareholders for the business.
- A functioning bank account must be held that is registered to the business you are starting.
After gathering all of the above, you’ll then need to fill out the Online Bizfile for your business and take care of the licensing and registry fees. This is typically carried out by a professional firm which you hire to complete the process of incorporating the business. This can be accomplished by your certified public accountant, in most cases, for a small fee.
ACRA carries a mandate from the government to ensure compliance by businesses with regard to disclosure requirements. The entity is also tasked with the regulation of statutory audits being carried out by public accountants.
Fees for business registration by a foreigner in Singapore are typically in the range of S$300 to S$1,200. A further fee of S$15 is assessed for each additional name that may be registered with the original business.
Additional steps must be taken to register with the Inland Revenue Authority of Singapore (IRAS) when the business exceeds certain benchmarks.
Getting Through the Process
There are many positives about starting a business in Singapore. Doing your research and understanding the laws will make the process simpler and less frustrating. It’s important to undertake your own education on these matters and to take advantage of every opportunity to learn more about the country, the culture, the regulations and the kind of business form you’ll take. It will take more time at the outset, but will make starting and running your business much easier over the long run.
Reasons to Consider Singapore
Singapore is rising quickly as one of the most favorable business venues available today. It has become a very important hub within the financial world due to its bustling seaport and business-friendly atmosphere. Corporations have been flocking to Singapore in the last few years, increasing its influence and importance for offshore businesses. Setting up a business in Singapore is relatively easy and without the huge hurdles that exist in many other locations and its financial laws are much less onerous than might be found in other locales. None of this, though, should be construed as advice to try setting up a business in Singapore without getting some expert help. Familiarizing yourself with the process and relevant regulations will make your venture both easier and more successful.
Reasons to set up shop in Singapore are endless, although some of the most commonly cited are the desire to live in Singapore, as well as the business-friendly atmosphere present there. According to some experts, the quality of life in Singapore is higher than anywhere else in Asia. While this is good because it attracts new investment and immigration, it also has the downside of driving up the cost of living.
Singapore Provides a Favorable Business Atmosphere
Tax laws in Singapore offer a big draw for offshore businesses. The laws regarding taxation of material gains from outside Singapore are very friendly in that any capital gained outside Singapore is basically free from local taxation if the business is set up properly. While subject to specific restrictions, profits gained from sources outside Singapore are not generally subject to Singaporean taxes.
Business Formation is Easy in Singapore
While there are fairly stringent laws in place to make sure that only legitimate businesses are started in Singapore, actually starting a legitimate business in Singapore is very straightforward. The same laws that weed out the fraudulent or illegitimate also help Singapore to retain the reputation its government has worked so hard to build. It’s important to make sure you have the proper expert help to make sure your venture has the best start possible.
When starting a business, it’s important to remember that you will have to set up a corporate checking account and have the required amount of capital (capital requirements are very low in Singapore). A reputable business services firm can help you get through these steps with the least amount of hassle possible.
While Singapore offers low rates on taxation, it cannot be considered a “tax haven.” That particular phrase is generally regarded with some suspicion among tax authorities who fight tax evasion. Singapore offers low taxes, a stable economy and a politically stable climate, making it one of the best places to start a business within Asia.
Your first step after deciding to incorporate in Singapore should be to hire a reputable business service firm. These firms often provide virtual office services, step-by-step guidance on the process of incorporation and other helpful services. As one of the best places to do business in Asia, Singapore offers many fine attributes.
Singapore Lacks Common Obstacles
In many Asian countries, it is necessary to learn a new language in order to be successful. In Singapore, however, the official language is English. This makes it much easier for the typical businessman or woman to navigate through the processes of incorporation in the country. All business and other documents are presented and accepted in English.
Tax documents are easier to manage and are required less often. For example, the Inland Revenue Service requires the submission of an annual financial statement, but annual financial audits are not required unless your business has sales or turnover equal to five million Singapore dollars. Singapore also has agreements with more than sixty other countries in order to avoid double taxation.
Singapore provides a very rigid legal framework regarding the intellectual property of companies incorporated there. Strict protections are in place to help companies protect their property and earnings. This has led to Singapore being one of the top countries in terms of information technology. In fact, Singapore is among the top three countries in this area.
In terms of the value of direct foreign investment, Singapore is one of the top three countries in Asia. Entrepreneurs around the world have showered Singapore with attention. As an investment vehicle, it’s hard to find a country with more going for it than Singapore.
Singapore has a well-earned reputation as one of the most business-friendly venues in the world. Throughout Asia, a better location to start a business cannot be found. With excellent laws regarding taxation, easy set-up of offshore businesses and an immigration policy that can best be described as extremely open, Singapore offers the best locale for opening an offshore business.
When a business is incorporated in Singapore, the owner or director can expect to have as much help as he needs in getting through the process. Special business services firms are common throughout the country. Reputable business service providers can assist anyone in completing the steps to incorporate within the Republic of Singapore.
Common obstacles to incorporation have been greatly reduced or eliminated entirely in Singapore. Low tax rates and a business-friendly atmosphere contribute to explosive offshore business growth in the country. Officials in government are eager to keep the reputation that Singapore is gaining in the business community and this sets the stage for an overall good experience for anyone desiring to start an offshore business.
The official language in the country is English, allowing many entrepreneurs to start a business there with a very small learning curve. Documentation is offered in English and anyone in the business community is going to be able to communicate in English, making business both easier and more efficient.
The Republic of Singapore is on the rise in the business world. If you’re looking to start an offshore business, you won’t find a more hospitable place anywhere. Even with the rising cost of living, Singapore can’t be beat as a bustling center of commerce.
Are you looking for more information on the Initial Public Offering Process Singapore? This article will help highlight in simple terms the listing process in Singapore.
As the Global Economy continues to grow in 2013 and the prices of Singapore shares continues to climb, many global macro funds would start to invest their monies into Singapore equity funds which in turn will invest in companies that are listed on the Singapore Stock Exchange (SGX-ST).
It is during this period that many companies from Singapore and China will start considering listing their companies on the Singapore Exchange.
What are the several reasons that a businessman may have for listing his company in Singapore?
- Whilst there is a higher valuation based on PE ratios in China and Hong Kong but in China the queue is 800 to 900 companies waiting for approval to list which makes listing in China a feat in itself. While in Hong Kong only large companies are able to receive approval quickly. The smaller ones join the queue.
- A public listed company means that the businessman can discharge his personal guarantees for his company. This is quite an important thing for a serial entrepreneur so he can use his own good personal credit for other ventures.
- A businessman can make money from his stock price. No we are not talking about insider trading. So a businessman can buy shares in the market when there is no inside news and then release good news (assuming its true) and then sell his shares at a profit.
So what is the initial public offering process in Singapore?
- First a team is assembled to examine if a company can be listed in Singapore.
- The audit of the company’s last three years of financials are carried out and restructuring of a company (if necessary) is carried out.
- The due diligence process starts.
- The relevant documentation is drafted and submitted to the Singapore Exchange for comments and approval.
- The listing is given the green light and the prospectus is listed on the website of the Monetary Authority of Singapore for main board companies or on Catalodge for Catalist companies for a period of time.
- After the expiry of the Red Herring Period, the Company is listed on the Singapore Exchange.
This process is typically supposed to take anything from 6 months to 9 months (assuming no complications arise) but may take longer. In the interim, private equity investors will invest monies in these companies to fund the IPO expenses by way of a pre-IPO investment usually in the form of a convertible loan to the company.
Do contact us if you are interested in a Singapore Listing.