PETALING JAYA: Main Board-listed Guan Chong Bhd will not proceed with its secondary initial public offering (IPO) on the Singapore Exchange (SGX-ST) “for the time being.”
In a statement, managing director and CEO Brandon Tay said that after much consideration, the processing company wished to reassess its strategic directions with regard to capital requirements for expansion.
“The group remains committed to expanding its global reach and broadening its profile as one of the leading cocoa processors in the world, going forward.
Ultimately, we remain focused on implementing growth strategies to bring sustainable benefit to Guan Chong,” it said.
It did not provide a reason for not proceeding with the IPO for now.
In July, Guan Chong refuted a report that it may want to scrap its plan for a secondary listing in Singapore in favour of selling a stake via a corporate exercise.
Guan Chong had in April announced plans for a secondary listing on the Singapore stock exchange to facilitate access to the island nation’s capital market, expand and diversify its shareholder base, and to enhance its profile in the international market.
The company said then that of the 62 million shares offered, 31 million were new shares and another 31 million were vendor shares that would be offered by certain existing shareholders.
Shares in Guan Chong closed 7 sen lower yesterday to RM3.01. A total of some 291,000 shares were traded.
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