Hot stock: Jumbo sees strong debut

SHARES in Catalist-listed Jumbo Group opened at 35 Singapore cents on its trading debut on Monday, up from its initial public offering (IPO) price of 25 cents.

It rose to a high of 39.5 cents in early trading before easing to 36 cents. Some 52.23 million shares had changed hands by 9.50am, making it the most heavily traded stock by volume.

Jumbo's S$22.1 million IPO was about eight times subscribed overall.

The company offered about 88.23 million shares at 25 cents each to the public. Retail investors put up S$155.2 million worth of application monies for the two million IPO shares on offer to them. Of the 86.23 million shares available in the placement tranche, 86.17 million worth S$21.5 million were validly subscribed for.

Separately, Jumbo raised some S$18 million from two cornerstone investors - Orchid 1 Investments (which is backed by Temasek) and OSIM's founder Ron Sim.