Is Jumbo Group's IPO worth a bite?
AFTER having simmered for over a year, the much-anticipated public float of seafood restaurant owner Jumbo Group early this month could bring some spice to the rather dry listing market this year. But just how appetising does its Catalist initial public offering (IPO) look?
On dividend yields alone, this dish might seem a little on the bland side, and its valuation multiple of about 12 times seems roughly fair compared with its Singapore-listed peers in the restaurant industry.
Still, the group's strong operating margins and solid free cash flow over its past three financial years could make it worth a bite - provided it can sustain that performance while carrying out its overseas expansion plans.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Columns
‘Competition for talent’ a poor excuse to keep key executives’ pay under wraps
OCBC should put its properties into a Reit and distribute the trust’s units to shareholders
Why a stronger US dollar is dangerous
An overstimulated US economy is asking for trouble
Too many property agents? Cap commissions on home sales
Time to study broadening of private market access