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SGX Market Updates

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12 October 2017

12 October 2017

  • Approximately one-fifth of Catalist companies generate at least half their revenue from ASEAN (excluding Singapore). With its geographical proximity, ASEAN is expected to be a key beneficiary and bridgehead of OBOR as it sees more infrastructure developments, increased trade and regional connectivity.

  • All 11 GICS® sectors are well-represented on the Catalist board, with wider diversity on the Industry level, providing investors with the opportunity to invest in a wide range of businesses or industries.

  • In the recent years, there were many “firsts” and niche industry segments to list on Catalist. Examples include the first coffee shop operator (Kimly Limited) to the first China dental play (Aoxin Q & M Dental).

SGX Catalist Board

Launched in 2007 and replacing SESDAQ, SGX’s Catalist board celebrates its 10th year anniversary this year.

Catalist provides investors access to smaller-sized, yet potentially fast-growing companies and allows less mature and developing enterprises to raise funds either through equity or debt.

Approximately one fifth of Catalist companies generate >50% revenue from ASEAN

There are currently 197 companies listed on Catalist with a combined market capitalisation of S$11.6 billion (click here to read more). According to Bloomberg, 36 or approximately one-fifth of Catalist companies generate at least 50% of their revenue from ASEAN (excluding Singapore). These stocks may provide investors opportunities to invest in companies with ASEAN exposure across diverse industries.

With its geographical proximity and relatively low risk profile, ASEAN is expected to be a key beneficiary and bridgehead of OBOR as it sees more infrastructure developments and improvements, as well as increased trade and regional connectivity in the region (click here to read more).

Out of the 36 Catalist companies with at least 50% of their revenue from ASEAN, four have listed on the platform in the recent years and are Aspen Group, Samurai 2k Aerosol, shopper360, and Axcelasia. Please refer to the table below for more details of the recent listings on Catalist.

Wide diversity across Sectors and Industries

The Catalist Board is diverse, with representation across all 11 of the MSCI Global Industry Classification Standard (GICS®) sectors. On a GICS® Industry level, there is even wider diversity with a total of 39 different industries. This implies that the Catalist Board provides investors with the opportunity to invest in a wide range of businesses or industries.

GICS® Sector Representation on Catalist

Source: Bloomberg (data as of 11 October 2017).

Many “firsts” and niche offerings to list on Catalist

There were many “firsts” to list on Catalist in recent years, such as the first listed coffee shop operator (Kimly Limited) to the first China dental play (Aoxin Q & M Dental), as some examples. Recent initial public offerings (IPOs) on the Catalist in past two years (Sep 2015 till date) have also seen several unique and niche industry segments, some of the examples are listed below (in order of the most recent listing dates).

  • Y Ventures Group – Data analytics driven e-commerce retailer and distributor with a global presence
  • shopper360 – Provider of shopper market services in retail consumer goods industries in Malaysia
  • Union Gas Holdings – Established provider of fuel products in Singapore
  • Aoxin Q & M Dental Group – First China dental play to list on SGX
  • UnUsUaL Limited – Leading provider of concert promotion and event production in Asia
  • Kimly Limited – First coffee shop operator to list on SGX
  • Samurai 2K Aerosol – Leading high performance aerosol coating specialist
  • HC Surgical Specialists – First endoscopic procedures provider to list on SGX
  • Acromec Engineers – Established specialist engineering services provider in field of controlled environments
  • The Trendlines Group – Innovation commercialisation company specialising in incubation, seed/start-ups

There were 25 stocks which listed via IPO on Catalist in the past two years, tabled below. The sectors span across Consumer, Healthcare, Industrials to Materials. These 25 stocks have returned a market capitalisation weighted average of +40.8% in the year-to-date.

Name
SGX
Code
Market Cap
S$m
Price
S$
Price Change
YTD %
GICS Ind Name

Kimly
1D0
434
0.375
51.0*
Hotels, Restaurants & Leisure

Jumbo Group
42R
385
0.600
-4.9
Hotels, Restaurants & Leisure

UnUsUaL
1D1
341
0.530
165.0*
Media

World Class Global
1E6
224
0.245
-5.8*
Real Estate Management & Devel

Aspen Group Hldgs
1F3
195
0.225
-2.2*
Real Estate Management & Devel

United Global
43P
114
0.360
30.3
Chemicals

HC Surgical Specialists
1B1
99
0.660
11.7
Health Care Providers & Servic

Samurai 2K Aerosol
1C3
97
0.965
382.5*
Chemicals

Aoxin Q & M Dental Group
1D4
84
0.225
12.5*
Health Care Providers & Servic

Sanli Environmental
1E3
81
0.300
33.3*
Construction & Engineering

The Trendlines Group
42T
78
0.153
2.0
Capital Markets

Anchor Resources
43E
68
0.066
-27.5
Metals & Mining

Advancer Global
43Q
57
0.305
-13.0
Commercial Services & Supplies

TLV Hldgs
42L
51
0.091
-18.1
Specialty Retail

Union Gas
1F2
48
0.240
-4.0*
Gas Utilities

Y Ventures
1F1
48
0.240
9.1*
Internet & Direct Marketing Re

Wong Fong Industries
1A1
46
0.195
-28.3
Machinery

Katrina Group
1A0
45
0.196
-10.5
Hotels, Restaurants & Leisure

Secura Group
43B
42
0.104
-48.2
Commercial Services & Supplies

GS Hldgs
43A
39
0.295
-18.1
Commercial Services & Supplies

Acromec Engineers
43F
35
0.285
-49.6
Construction & Engineering

Shopper360
1F0
31
0.270
-5.9*
Media

AGV Group
1A4
21
0.168
-15.2
Metals & Mining

Axcelasia Inc
42U
10
0.060
-45.9
Professional Services

Eindec Corporation
42Z
5
0.046
-11.5
Building Products

Simple Average

15.7%

Market Cap Weighted Average
40.8%

Source: Bloomberg & SGX StockFacts (data as of 11 October 2017).

These 25 stocks were listed (IPO only, excluding reverse takeovers) in past two years (Sep 2015 till date).
* Indicates stocks that were listed in 2017, YTD Price Change is calculated from initial offer price till date.

Did You Know?

There were 21 transfers from Catalist to Mainboard since 2007. Catalist companies are able to apply for a transfer to Mainboard upon meeting certain admission requirements such as but not limited to, listed on Catalist for a minimum of two years, met Mainboard quantitative listing requirements, and sought shareholders’ approval among others.

This article is provided by SGX My Gateway.

SGX My Gateway

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