Lian Beng unit SLB Development eyes Catalist listing

It plans to offer 238 million shares for 23 cents each.

The wholly-owned unit of Mainboard-listed Lian Beng, SLB Development, plans to list in the Catalist board and raise net proceeds of $51.4m. According to its offer document, it will offer 238 million new shares, which includes 230 million shares for placement for 23 cents each.

It chose SAC Capital Private Limited as the underwriter.

SLB Development said the proceeds will go to the acquisition of new land sites and buildings for the development and the overseas expansion of its business. The funds will also finance its exisiting projects and the repayment of a bridging loan.

The company, incorporated in October 2017, develops and sells residential, mixed-use, industrial, and commercial development properties mainly in Singapore. It also started operations in the People’s Republic of China through a joint venture participation in the Gaobeidian Project.

Immediately after the invitation, Lian Beng’s stake in SLB Development will fall to 73.93%.

SLB Development’s profit fell from $69.41m in 2016 to $15.85m in 2017, due to lower share of results from joint ventures and the completion of the mixed-use development project The Midtown & Midtown Residences.