iFAST Corporation Ltd. IPO Shares approximately 12.4 times Subscribed
INTERNET-BASED INVESTMENT PRODUCTS DISTRIBUTION PLATFORM
TO LIST ON SGX MAINBOARD
- Public Offer for IPO of iFAST Corporation Ltd. (“iFAST”) opens at 7.00 pm on 4 December 2014 and closes at 12.00 noon on 9 December 2014
- The institutional investors who have been allotted over 5% of the invitation shares include Schroder Investment Management (Singapore) Ltd, Affin Hwang Asset Management Berhad, and Lion Global Investors Limited
- Separate from the Offering, the cornerstone investors are FIL Investment Management (Hong Kong) Limited and OWW Investments III Limited
- iFAST Corporation Ltd. is expected to list on SGX Mainboard on 11 December 2014
SINGAPORE (Wednesday, 10 December 2014) — iFAST Corporation Ltd. ("iFAST Corporation" or together with its subsidiares, the “Group”), an Internet-based investment products distribution platform with assets under administration (AUA) of approximately S$5.13 billion as at end September 2014, and the parent company of Fundsupermart.com and iFAST Financial platforms, announced today the balloting results from its initial public offering (the “IPO”) in conjunction with a proposed listing on the Main Board of the Singapore Exchange Securities Trading Limited (the “SGX-ST”).
Based on the total Offering size of 32,800,000 New Shares, total valid applications received under the Public Offer and indications of interest received under the Placement, the Offering is approximately 12.4 times subscribed.
The Shares are expected to commence trading on the SGX-ST Mainboard on 11th December 2014 at 9 a.m. The Joint Issue Managers, Bookrunners and Underwriters for the Offering are DBS Bank Ltd. and DMG & Partners Securities Pte Ltd.
Mr. Lim Chung Chun, Chairman and CEO of iFAST Corporation, said, “We thank investors for the confidence they have shown in our company. We will continue to look to our mission statement, to ‘help investors around the world invest globally and profitably’, to guide us in our new initiatives.”
“The Public Offer and Placement saw strong demand from the public, and institutional and high net worth investors respectively, and we are thankful for the confidence shown in us from investors,” says Mr. Lim Chung Chun, Chairman and CEO of iFAST Corporation Ltd.
The public offer period was from 4th December, 7pm, to 9th December, 12pm following the roadshow to institutional and high net worth investors in Singapore, Hong Kong, Kuala Lumpur and London. “Institutional investors, especially in London, had expressed a strong understanding of our platform business because of the relatively high penetration of investment platforms in the UK,” says Mr. Lim Chung Chun. The indications of interest received represented approximately 12 times of the Placement.
Among the institutional investors who have invested in the Placement shares are Schroder Investment Management (Singapore) Ltd, Affin Hwang Asset Management Berhad, and Lion Global Investors Limited.
Proceeds
Based on the Offering Price of S$0.95 per New Share, iFAST Corporation is expected to raise gross proceeds of approximately S$49.2 million from the Offering and the Cornerstone Tranche (assuming the Over-allotment Option is not exercised). iFAST Corporation is expected to have a market capitalisation of approximately S$243.4 million upon listing.
The proceeds will be used mainly for
i) mergers and acquisitions strategy;
ii) the expansion of the Group’s business in the Chinese market; and
iii) the enhancement of the Group’s product capabilities, IT and services.
Prospects
As compared to developed markets such as Australia and the UK, the penetration of investment platforms in the Asia ex-Japan region is much lower and has a shorter history. An increasing proportion of funds flowing through investment platforms in Asia ex-Japan is expected to drive the Group’s growth.
Dividend Policy
The directors of iFAST Corporation intend to recommend and distribute dividends of 60% of net profit after tax for 4Q2014, and dividends of 60% of net profit after tax for FY2015, to reward shareholders for participating in the growth of the Group.
Offering Information
The offering of 32,800,000 New Shares (the “Offering”), subject to the Over-allotment Option (defined below), comprises:
(i) an international placement of 30,000,000 Shares (the “Placement”); and
(ii) a public offer of 2,800,000 Shares in Singapore (the “Public Offer”).
Separate from the Offering, each of FIL Investment Management (Hong Kong) Limited and OWW Investments III Limited (collectively, the “Cornerstone Investors”) has entered into a cornerstone subscription agreement with the Company (collectively, the “Cornerstone Subscription Agreements”) to subscribe for an aggregate of 19,000,000 New Shares at the Offering Price.
In connection with the Offering, iFAST Corporation has granted DBS Bank Ltd., the stabilising manager, an over-allotment option (“Over-allotment Option”) to subscribe
and/or procure subscribers for up to an aggregate of 3,280,000 Additional Shares (not more than 10% of the Offering) at the Offering Price solely to cover the over-allotment
of Shares, if any.
Application Results For Public Offer and Placement
The Board of the Company and the Joint Issue Managers, Bookrunners and Underwriters, are pleased to announce that as at the close of the Application List at
12.00 noon (Singapore time) on 9 December 2014, there were 2,437 valid applications for the 2,800,000 Public Offer Shares available to the public for subscription. In total,
these applicants applied for 46,719,000 Public Offer Shares, with application monies received amounting to approximately S$44.4 million.
The indications of interest received in respect of the Placement represented approximately 12 times of the total Placement Shares under the Offering. The 30,000,000 Placement Shares have been validly subscribed for and application monies received for these Placement Shares amounted to approximately S$28.5 million.
Based on the total Offering size of 32,800,000 New Shares, total valid applications received under the Public Offer and indications of interest received under the Placement, the Offering is approximately 12.4 times subscribed.
About iFAST Corporation
iFAST Corporation is an Internet-based investment products distribution platform, with assets under administration of approximately S$5.13 billion as at end-September 2014. Incorporated in the year 2000 in Singapore, iFAST Corporation provides a comprehensive range of services, including investment administration and transactions services, research and trainings, IT services and backroom functions to banks, financial advisory firms, financial institutions, multinational companies, as well as investors in Asia. The company is also present in Hong Kong, Malaysia and China.
iFAST Corporation has two main business divisions, namely our Business-to-Consumer (B2C) website, Fundsupermart.com, targeted at DIY investors; and our Business-to-Business (B2B) platform that caters to the specialised needs of financial advisory (FA) companies, financial institutions and banks.
As at end September 2014 and across the jurisdictions we operate, iFAST Corporation has over 115 distribution agreements with global fund houses offering over 1,800 investment products (including over 1,600 funds) on the platform. Over 5,000 FA representatives from more than 150 banks, financial institutions and FA companies use the iFAST B2B platform.
*IMPORTANT NOTICE
The prospectus dated 4 December 2014 (the “Prospectus”) relating to the Offering has been
registered by the Monetary Authority of Singapore on 4 December 2014. Capitalised terms
used herein, shall, unless otherwise defined, bear the same meanings assigned to them in the
Prospectus.
This press release is for information only and does not constitute an offer or a solicitation or
an invitation to purchase or subscribe for any securities and neither this press release nor
anything contained herein shall form the basis of any contract or commitment whatsoever.
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The information in this press release may contain certain forward-looking statements that
involve assumptions, risks and uncertainties. Accordingly, it is qualified in its entirety by, and
is subject to, the more detailed information set out in the Prospectus.
Any decision to subscribe for the New Shares should be made solely on the basis of
information contained in the Prospectus and no reliance should be placed on any information
other than that contained in the Prospectus.
This offer of securities is accompanied by a Prospectus. Investing in our Shares involves risks
which are described in the section entitled “Risk Factors” of the Prospectus. Anyone wishing
to acquire these securities should read the prospectus before submitting his application and
will need to make an application in the manner set out in the prospectus.
These materials are not for publication or distribution, directly or indirectly, in or into the
United States. This advertisement is not an offer of securities for sale in or to any country or
jurisdiction except under such circumstances that will be in compliance with any applicable
rules or regulations of any such country or jurisdiction. The securities referred to herein have
not and will not be registered under the U.S. Securities Act of 1933, as amended, and may not
be offered or sold within the United States except pursuant to an applicable exemption form,
or in a transaction not subject to, the registration requirements of the Securities Act and state
securities laws. No public offering of securities is being made in the United States.
To find out more about iFAST, visit our website at www.ifastcorp.com
Singapore • Hong Kong • Malaysia • China