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Singapore Institute of Advanced Medicine Holdings Ltd

Singapore Institute of Advanced Medicine Holdings Ltd ("Sam" or the "Company") is offering 114m new shares comprising 4.415m Public Offer Shares and 109.585m Placement Shares at $0.23 each for a listing on Catalist.  The Company aims to raise $26.2m and the majority of the proceeds will be used to repay debt and the balance for working capital. The market cap based on the IPO price is $231.8m and the offer will close on 14 Feb at 12 noon and starts trading on 16 Feb 2024 at 9am.   Principal Business SAM is a healthcare service provider using advanced technology for early and accurate diagnosis to detect and treat cancer, neurodegenerative and cardiovascular diseases.  SAM has strategic collaborations with public and private institutions for research and clinical work.  SAM's goal is to create a comprehensive one-stop ambulatory cancer centre to undertake the challenges to fight cancer and is one of the first to adopt proto beam therapy treatment in Singapore. Fi

Uni-Asia Finance Corporation


(IPO booth at Raffles Place... not the right timing to get prospectus i guess)

The Company is an Asian-based structure finance arrangement and alternative assets investment firm. The prospectus is here.

Public Offer: 3.3 million shares at $0.55 each
Placement Offer: 62.1 million shares
Manager: DBS
Closing Date: 15 Aug 2007


This IPO is priced very 'cheaply' with a Post-IPO NAV of 51.7 cents versus its IPO price of 55 cents. It is also priced at a historical 7.6x PE based on post-IPO shares of 240.4m shares and FY06 EPS. I believed this IPO will be undersubcribed if it is not priced so cheaply!

Despite being vested from the IPO placement tranche, i would advise investors to avoid this IPO for the following reasons:
  1. Companies in Structure Finance business has not performed well post-ipo. Without digging deeper into the amount of dividends paid since listing, as of 10 Aug 2007, Babcock & Brown (structured finance) is still 13% below its IPO price.

  2. Companies in "Shipping Trust" business has not performed well post-ipo as well. First Ship Lease Trust is still 7% below IPO.

  3. The business is priced in US$ and I believed US$ will continue to weaken against S$.

  4. Sentiments towards IPO has been very weak due to the recent market turmoil and the premium above its IPO price for recent listing is less than 10%.

  5. ETLA closed below its IPO price, reflecting the weak market sentiments.
While the IPO is cheap, if you are looking for a significant 'stag', I dont think you can find in Uni-Asia. My recommendation is to avoid this company if your intention is to 'punt' the IPO. Put your IPO application fee of S$2 to better use elsewhere.

Comments

Anonymous said…
i do agree that this IPO should be avoided although like you, i am also vested through the placement tranche. In times like this, it is best to inject money in IPO and moreover, this is a structured finance IPO that is generally not well received in singapore.
Mr. IPO said…
hahaha, what to do :) good times and bad times must support the IPOs... Wish you would have leave your name though mr annoymous... easier to communciate in future..
Anonymous said…
2y

Did you cut loss on the first day? I sold my 2 lots at 0.52 immediately....