[SINGAPORE] Shares of automotive group Vin’s Holdings (VH) climbed on its debut on Tuesday (Apr 15), in the first initial public offering (IPO) on the Singapore Exchange (SGX) this year.
Its shares were trading at S$0.345 as at 9.20am after 438,000 securities changed hands, above its IPO price of S$0.30.
VH began trading at 9am on Tuesday at S$0.315 with the stock code VIN
This is the first IPO for SGX since November 2024, with net proceeds of S$4 million after expenses, arising from the issue of 20 million placement shares at S$0.30 apiece.
All placement shares have been fully subscribed, with application monies received amounting to S$6 million.
With the placement completed, the total issued share capital of VH now comprises 131.1 million shares with a market capitalisation of S$39.3 million upon listing.
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RHB Bank is the issue manager, full sponsor and placement agent for the group’s IPO.
The group said in an Apr 14 media release that it plans to use around S$3.2 million of the net proceeds raised from the placement for the enhancement of IT and services, and the expansion of showrooms, workshops and after-sales services.
In addition, the company also intends to distribute 75 per cent of its FY2024 net profit after tax to shareholders.
Founded by chairman Vincent Khong, VH started as a car workshop in 1987 that focused on motor-vehicle maintenance and repair as well as insurance claims.
It later expanded its services to include the rental and leasing of cars to other workshops, for customers to use while their cars were being repaired. The company started selling new parallel-import motor vehicles in 2015.
Khong’s son, Galvin, joined the group in 2014 and is now its chief executive officer.
At present, most of the company’s revenue is still generated from vehicle sales. The group reported a total revenue of S$83.7 million for the nine months ended Sept 2024, of which vehicle sales contributed S$67.5 million, and service income accounted for S$8.5 million. Financing and interest income stood at S$5.7 million and rental income was S$2 million.
Karaoke and live show operator Goodwill Entertainment, which made its trading debut on the Catalist board in Nov 2024, was the last IPO on SGX.
