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MindChamps' invitation shares see 21.4 times subscription

MINDCHAMPS PreSchool Limited, the largest operator and franchisor of premium preschool centres in Singapore, said its initial public offer (IPO) was met with strong demand from both institutional and retail investors.

Some 28 million offer shares, excluding the reserved shares, were 21.4 times subscribed. The public offer of two million shares was 83 times subscribed.

Priced at 83 Singapore cents per share, the IPO of 30.45 million shares comprised a placement of 28.45 million shares to investors, of which 2,438,000 shares were reserved for the management, employees and business associates of the group who have contributed to its success.

Institutional investors who have subscribed for the placement shares are ICH Capital, Island Asset Management, JF Asset Management, and SUTL Holdings, which have each been allotted 5 per cent or more of the invitation shares.

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Concurrently with the IPO, a total of 28.93 million shares were subscribed by three cornerstone investors, namely Hong Kong-listed China First Capital Group (CFCG), Hillhouse Capital Management and Target Asset Management.

The net proceeds of about S$46.2 million (excluding the over-allotted shares) from the IPO and the issue of the cornerstone shares, will go towards funding the group's expansion plans, paying down a loan and for general corporate and working capital purposes.

The trading of MindChamps' shares will commence on Friday morning, with an expected market capitalisation of S$200.5 million upon listing.