Japanese restaurant group RE&S lodges preliminary prospectus for Catalist listing

JAPANESE restaurant group RE&S Holdings has lodged a preliminary prospectus for a Catalist listing as it seeks to raise capital for new outlets.

The timing and pricing of the deal has not been determined yet.

Small-and-medium enterprise investor Heliconia Capital Management, a unit of Singapore government-owned investment firm Temasek Holdings, will be a cornerstone investor in the initial public offering (IPO).

Proceeds from the deal will be used for business expansion, establishment of new F&B outlets, refurbishment of existing F&B outlets and general working capital.

RE&S is the owner of popular Japanese restaurants like Ichiban Boshi, Kuishin Bo Kuriya Japanese Market. In the year ended June 30, 2017, it recorded net profit of S$5.7 million, almost double the S$2.9 million it made a year earlier. The company intends to recommend and distribute dividends of at least 35 per cent of its net profits attributable to shareholders in FY2018 and FY2019.

Controlling ownership currently resides with executive director and president Hiroshi Tatara, who holds a 73 per cent stake, and executive director and chief executive Yek Hong Liat, who holds a 25 per cent stake.

DBS is the sponsor and issue manager for the listing.