Skylink opens at S$0.245 following reverse takeover by Sincap
It aims to raise S$9.2 million from a share placement and bond issuance
[SINGAPORE] Commercial vehicle specialist Skylink Holdings commenced trading on the Singapore Exchange (SGX) Catalist board on Wednesday (Sep 17). This marks the second listing of a vehicle company for the bourse operator in 2025, after Vin’s Holdings’ April debut.
The counter opened at S$0.245 on Wednesday. It later finished the day at S$0.25, with around 10.8 million shares changing hands.
Skylink chief executive officer Wesley Shen on Wednesday noted that the listing marks a “major milestone” for the company as its listed status positions it to expand its financing capabilities. This will help grow its commercial vehicle fleet and strengthen its engineering services, he said.
“Our Catalist listing provides us with greater visibility and access to the capital markets to fund our growth strategies, which in turn will deliver long-term sustainable value to shareholders,” he said.
Skylink Holdings is one of the largest commercial vehicle leasing companies in Singapore, with a 1,200-strong fleet and seven engineering workshops. Its services include mobility, financing and maintenance solutions.
The Catalist company was revived after a reverse takeover of home-grown commercial vehicle specialist Skylink Apac by former coal trader Sincap Group, which was suspended in 2021.
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The deal was approved by Sincap shareholders on Sep 11. The company – which was subsequently renamed Skylink Holdings – said on the same day that the reverse takeover drew “strong interest” from prominent funds such as Asdew Acquisitions and ICH Capital.
The acquisition of Skylink Apac was completed on Monday, with a S$42.3 million price tag comprising a S$28.3 million base consideration and a S$14 million deferred consideration, contingent on Skylink hitting profit targets for FY2025 and FY2026.
In connection with the reverse takeover, Skylink Holdings raised around S$9.2 million in proceeds. Of this, S$4.2 million was raised through the placement of 21 million shares at S$0.20 apiece.
The remaining S$5 million was raised through the issuance of convertible bonds that mature in three years from the issue date and pay an 8 per cent interest per annum. These can be converted into shares based on a price of S$0.225 per share.
Of the total proceeds, S$8 million will support the expansion of Skylink Holdings’ higher-margin loan book, commercial fleet size, engineering capacity and its merger and acquisition plans.
The completion of the placement and reverse takeover raises its issued and paid-up share capital from 34 million shares to 176.4 million shares, Skylink Holdings said.
Sincap listed on the Catalist board in 2012 and was engaged in alumina and coal trading.
The company went into voluntary trading suspension in 2021, as the pandemic disrupted its supply chains and affected its cash flow, making business unsustainable. It last closed at S$0.005 on May 3 before its suspension the next day.
Sincap announced its reverse takeover of Skylink Apac in March.
Teh Wing Kwan, Skylink Holdings’ non-independent non-executive chairman, previously cited Skylink Apac’s strong financials and fundamentals as an important consideration in the reverse takeover deal, The Straits Times reported. He noted that the company serves blue chips and reputable clients.
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