(From left) Dezign Format’s CEO Mike Chong; co-founder and controlling shareholder Chong Nen Sing; and executive director Jonathan Chong. — The Straits Times
SINGAPORE: Design agency Dezign Format is looking to raise S$6.5mil through an initial public offering (IPO) on the Singapore Exchange Catalist board which caters to fast-growing firms that may not yet meet mainboard listing requirements.
The offering will comprise 32.5 million new placement shares at 20 Singapore cents each, according to its offer document filed on Aug 1.
It is expected to hit a market capitalisation of S$40mil after listing.
The IPO will close at noon on Aug 13, and shares of the company are expected to begin trading on Aug 15 at 9am.
Evolve Capital Advisory is the sponsor, issue manager and placement agent for the proposed IPO.
Dezign Format specialises in installations for meetings, incentives, conferences and exhibitions (Mice) as well as fit-outs for retail and commercial spaces.
Its most significant projects include the 2024 Chinese New Year decorations at Marina Bay Sands; an “imaginary gardens” themed installation for jewellery brand Van Cleef & Arpels’ collaboration with French artist Julie Joseph and the DinoQuest exhibition in conjunction with Science Centre Singapore.
Net proceeds of S$4.8mil from the IPO will be channelled into business expansion plans that include joint ventures and mergers and acquisitions, particularly in the Mice sector and location-based entertainment space – a new division for the company.
The funds raised will also be used to develop proprietary intellectual property (IP) and acquire IP rights from around the world.
Regional expansion is also a priority for the company, which currently employs 166 staff in its Singapore office.
Dezign Format is gearing up for expansion in Malaysia, its first overseas market, in the fourth quarter of 2025.
The company expects its new 50,000 sq ft facility in the Johor-Singapore Special Economic Zone to boost production capacity while lowering operational costs.
It is also eyeing Thailand and Vietnam for future expansion, citing strong growth potential in the Mice sector.
The company had first broached the idea of going public in 2019.
However, those plans had to be put on the back burner due to the Covid-19 pandemic.
A post-Covid-19 recovery reignited the company’s listing ambitions, with profits rising to S$5mil for the financial year ended Dec 31, 2024, from earnings of S$3.3mil the year before.
Revenue rose to S$33.4mil in the 2024 financial year, up from S$26mil in the 2023 financial year.
Mike Chong, chief executive and executive chairman of Dezign Format, said while Hong Kong was initially considered, the company ultimately decided to go public in Singapore due to the bulk of its business being located here, as well as its proximity to the rest of South-East Asia for expansion.
He added that the government’s recent initiatives to revitalise the Singapore stock market, particularly its support for small and mid-cap stocks, also encouraged him to list the company.
Dezign Format was established in 1988 by Chong and his elder brother Chong Nen Sing, and has been a family-owned firm since.
With more second-generation family members joining the company’s ranks and bringing new ideas and vision, the company needed to evolve, said Chong.
“With this IPO, our objective is to bring this company forward from a family-run business to a future-ready enterprise with more structure and standardised systems in place,” he added. — The Straits Times/ANN
