Investors eye bargains in undervalued Singapore, looking at takeover

Bargain stocks: A Singapore Exchange sign sits outside its premises at the central business district in Singapore. The city’s benchmark stock index is the second cheapest among major peers in Asia after South Korea.

SINGAPORE: With more than half of Singapore equities trading below their net worth, some investors are chasing profits by buying shares in companies that may be bought out or delisted by controlling shareholders or takeover firms.

“Investors are looking for takeover candidates because prices have come off significantly,” said Justin Tang, a director of global special situations at Religare Capital Markets in Singapore. “We may see an increase in delistings and takeovers this year because of this.”