Higher cost of capital a challenge for SGX IPO landscape as Reits, Spacs face lower valuations

INITIAL public offering (IPO) activity on the Singapore Exchange (SGX) could remain muted in 2023 as real estate investment trusts (Reits) adjust to the realities of lower valuations in a higher interest rate environment.

SGX welcomed 11 new listings in 2022. The companies raised a total of S$580.3 million, according to bourse data.

The number of IPOs was more than the eight seen in 2021, but most of the listings last year took place on the junior Catalist board.