Hot stock: Unusual more than doubles from IPO price in trading debut

FILM and TV content producer mm2 Asia's unit Unusual got off to a rousing start in its trading debut on Singapore Exchange's (SGX) Catalist board on Monday.

Shares in the firm traded at 45.5 Singapore cents at the opening bell, before dipping to 43.5 Singapore cents at 10.16 am. Some 6.7 million shares changed hands.

Unusual, which is mm2 Asia's events production unit, had offered 96.99 million placement shares at 20 Singapore cents each; this worked out to a historical price-to-earnings ratio of 26.57 times, based on historical net earnings per share for its 2015 financial year and a pre-placement share capital of around 546.2 million shares.

The firm organises and promotes events such as concerts, mostly in Singapore. It said it planned to use the estimated S$17.4 million in IPO (initial public offering) net proceeds to invest in promotion and production projects, to expand via acquisitions, joint ventures or "strategic alliances" and for working capital.

SGX's head of equity capital market Mohamed Nasser Ismail said in a statement that Unusual's listing will provide investors an opportunity to invest in the region's growing entertainment and lifestyle industry.

With the latest listing, the Catalist now has 191 firms in total, with a combined market capitalisation of over S$12 billion.