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Independent Singapore
19-05-2025
- Business
- Independent Singapore
At least 5 Chinese firms eye SGX to expand in Southeast Asia as trade tensions drag on
SINGAPORE: Over the next 12 to 18 months, at least five firms from mainland China and Hong Kong are eyeing the Singapore Exchange (SGX) for initial public offerings (IPOs), dual listings, or share placements, according to four sources, as Chinese companies look to grow their presence in Southeast Asia amid ongoing global trade tensions. Sources said a Chinese energy firm, a healthcare group, and a biotech group based in Shanghai are among those eyeing an expansion in the city-state; however, they did not name the companies as the plans are still in the early stages, Reuters reported. The potential listings are expected to help SGX, which has been trying to attract mega listings and raise its trading activity. In 2024, SGX hosted only four IPOs, while rival Hong Kong Stock Exchange saw 71 new listings. In April 2024, Vasu Menon, OCBC's managing director of investment strategy, said SGX would need to work harder and think of innovative ways to attract good IPOs . IPO activity had slowed over the past two years due to aggressive interest rate hikes by central banks. While signs of recovery were starting to show, uncertainty still hung over the IPO market. See also British are going to pay dearly for one day of fun Jason Saw, head of CGS International Securities' investment banking group, said Chinese companies are now looking to tap into Singapore as they expand their business in Southeast Asia amid the trade war with the U.S. Earlier, the U.S. raised tariffs on Chinese goods to 145%, and China responded with tariffs of 125% on U.S. goods. While both sides agreed to a 90-day pause, uncertainty remains, especially with the unpredictable policies from the Trump administration. Mr Saw said listing enquiries on SGX 'shot through the roof' since the latest U.S. tariff moves against China. Pol de Win, senior managing director and head of global sales and origination at SGX, said gateways connecting China to the rest of the world will matter even more in the years ahead. He said, 'Singapore is an important gateway, whether it's trade (or) business activity from China to the outside world, and a listing in Singapore is an important part of that,' although he did not comment on the listing plans involving the Chinese and Hong Kong firms. Mr Saw said CGS International, a unit of China Galaxy Securities, is now working with at least two Chinese companies that may list in Singapore as early as this year. Still, it did not mention the company names. One source said some of the firms could raise about US$100 million through primary listings in the city-state. While Hong Kong remains the top choice for most Chinese firms listing offshore, some are now showing more interest in SGX as Beijing works to deepen ties with Southeast Asia, according to capital market advisers. To strengthen its equities market, the Singapore government announced a 20% corporate tax rebate for primary listings, a 10% rebate for secondary listings, and a S$5 billion market development program . These measures resulted in a notable uptick in IPO enquiries , said Ooi Chee Keong, a partner at Forvis Mazars, in March. Additional support measures will be introduced in the second half of 2025 . Ringo Choi, EY's Asia Pacific IPO Leader, said Singapore's political stability and neutral stance on global issues make it attractive to companies. Still, few expect Singapore to catch up to Hong Kong in equity listings anytime soon because of its more cautious investor base and stricter listing requirements. A managing director at a Singapore-based multinational software company told Reuters that Singapore needs to make it easier for companies, especially tech firms, to list. He said most startups in the region are based in Singapore, so it should be the place they list. /TISG Read also: Regional and domestically exposed sectors replace US export-oriented stocks in RHB's Top 20 Small Cap Jewels 2025 Featured image by Depositphotos (for illustration purposes only)
Malay Mail
18-05-2025
- Business
- Malay Mail
China Inc eyes Singapore listings as trade tensions push firms beyond Hong Kong
SINGAPORE, May 18 — At least five companies from mainland China or Hong Kong are planning IPOs, dual listings, or share placements in Singapore in the next 12 to 18 months, four sources said, as Chinese firms look to expand in South-east Asia amid global trade tensions. The companies include a Chinese energy company, a Chinese healthcare group, and a Shanghai-based biotech group, said the sources, who have direct knowledge of the matter, but declined to be named or to name the firms as the plans are not finalised. The listings would give a boost to Singapore Exchange Ltd (SGX), which, despite being a popular venue for yield plays such as real estate investment trusts, has been struggling to attract mega listings and bolster trading volumes. SGX hosted just four initial public offerings in 2024, according to its website. That compares with 71 new company listings recorded by its rival regional bourse Hong Kong Exchanges and Clearing Ltd. Chinese companies are looking to tap the Singaporean bourse as they look to enter, or expand business in, South-east Asia amid a trade war with the United States, Jason Saw, investment banking group head at CGS International Securities, said. US President Donald Trump imposed tariffs of 145 per cent on imports of Chinese goods, and China in turn raised tariffs on US goods to 125 per cent, before the two sides agreed a 90-day pause last weekend. But uncertainty remains, given the time limit and the Trump administration's unpredictability. Enquiries about listings on SGX 'shot through the roof' after Trump ramped up his trade actions against China, Saw said. 'For the next years and decades, gateways from China to the world are going to be more important,' said Pol de Win, senior managing director and head of global sales and origination at SGX. 'Singapore is an important gateway, whether it's trade (or) business activity from China to the outside world, and a listing in Singapore is an important component of that.' De Win did not mention the listing plans of the Chinese and Hong Kong firms. 'Growing interest' CGS International, a unit of state-owned brokerage China Galaxy Securities, is working with at least two China-based companies to list on the SGX as early as this year, according to Saw. He declined to name the companies. Some of the mainland Chinese and Hong Kong companies could raise around US$100 million (RM429.5 million) via primary listings in Singapore, said one of the sources. SGX is usually not the first choice for Chinese companies eyeing an offshore market debut. Most of them prefer Hong Kong due to Beijing's support and a large pool of institutional and retail investors more familiar with Chinese brands. Beijing's efforts to boost ties with South-east Asia, amid escalating tension with Washington, have, however, encouraged some Chinese companies to increase their presence in the region, capital market advisers said. The listing plans in Singapore come after the city-state in February announced measures to strengthen its equities market, which included a 20 per cent tax rebate for primary listings, and vowed to unveil a next set of measures in the second half of 2025. The initiatives are set to boost interest in the local IPO market, said Ringo Choi, EY's Asia Pacific IPO Leader, adding that Singapore's 'political stability and neutral stance' on geopolitical matters should appeal to companies. Not many, however, see Singapore closing its gap with Hong Kong in equity listings in the near future, due to factors including Singapore's relatively conservative investors and stricter listing requirements. 'You need to make it easier for companies, especially technology companies, to list,' said the managing director of a Singapore-based multinational software company, who declined to be named as he was not authorised to speak to the media. 'Most of the startups in the region are headquartered in Singapore, so this should be the place they list.' — Reuters
Yahoo
17-05-2025
- Business
- Yahoo
Exclusive-Some Chinese companies eye Singapore listings to expand markets amid trade war
By Yantoultra Ngui SINGAPORE (Reuters) -At least five companies from mainland China or Hong Kong are planning IPOs, dual listings, or share placements in Singapore in the next 12 to 18 months, four sources said, as Chinese firms look to expand in Southeast Asia amid global trade tensions. The companies include a Chinese energy company, a Chinese healthcare group, and a Shanghai-based biotech group, said the sources, who have direct knowledge of the matter, but declined to be named or to name the firms as the plans are not finalised. The listings would give a boost to Singapore Exchange Ltd (SGX), which, despite being a popular venue for yield plays such as real estate investment trusts, has been struggling to attract mega listings and bolster trading volumes. SGX hosted just four initial public offerings in 2024, according to its website. That compares with 71 new company listings recorded by its rival regional bourse Hong Kong Exchanges and Clearing Ltd. Chinese companies are looking to tap the Singaporean bourse as they look to enter, or expand business in, Southeast Asia amid a trade war with the United States, Jason Saw, investment banking group head at CGS International Securities, said. U.S. President Donald Trump imposed tariffs of 145% on imports of Chinese goods, and China in turn raised tariffs on U.S. goods to 125%, before the two sides agreed a 90-day pause last weekend. But uncertainty remains, given the time limit and the Trump administration's unpredictability. Enquiries about listings on SGX "shot through the roof" after Trump ramped up his trade actions against China, Saw said. "For the next years and decades, gateways from China to the world are going to be more important," said Pol de Win, senior managing director and head of global sales and origination at SGX. "Singapore is an important gateway, whether it's trade (or) business activity from China to the outside world, and a listing in Singapore is an important component of that." De Win did not mention the listing plans of the Chinese and Hong Kong firms. 'GROWING INTEREST' CGS International, a unit of state-owned brokerage China Galaxy Securities, is working with at least two China-based companies to list on the SGX as early as this year, according to Saw. He declined to name the companies. Some of the mainland Chinese and Hong Kong companies could raise around $100 million via primary listings in Singapore, said one of the sources. SGX is usually not the first choice for Chinese companies eyeing an offshore market debut. Most of them prefer Hong Kong due to Beijing's support and a large pool of institutional and retail investors more familiar with Chinese brands. Beijing's efforts to boost ties with Southeast Asia, amid escalating tension with Washington, have, however, encouraged some Chinese companies to increase their presence in the region, capital market advisers said. The listing plans in Singapore come after the city-state in February announced measures to strengthen its equities market, which included a 20% tax rebate for primary listings, and vowed to unveil a next set of measures in the second half of 2025. The initiatives are set to boost interest in the local IPO market, said Ringo Choi, EY's Asia Pacific IPO Leader, adding that Singapore's "political stability and neutral stance" on geopolitical matters should appeal to companies. Not many, however, see Singapore closing its gap with Hong Kong in equity listings in the near future, due to factors including Singapore's relatively conservative investors and stricter listing requirements. "You need to make it easier for companies, especially technology companies, to list," said the managing director of a Singapore-based multinational software company, who declined to be named as he was not authorised to speak to the media. "Most of the startups in the region are headquartered in Singapore, so this should be the place they list."
Reuters
17-05-2025
- Business
- Reuters
Exclusive: Some Chinese companies eye Singapore listings to expand markets amid trade war
SINGAPORE, May 18 (Reuters) - At least five companies from mainland China or Hong Kong are planning IPOs, dual listings, or share placements in Singapore in the next 12 to 18 months, four sources said, as Chinese firms look to expand in Southeast Asia amid global trade tensions. The companies include a Chinese energy company, a Chinese healthcare group, and a Shanghai-based biotech group, said the sources, who have direct knowledge of the matter, but declined to be named or to name the firms as the plans are not finalised. The listings would give a boost to Singapore Exchange Ltd (SGX) ( opens new tab, which, despite being a popular venue for yield plays such as real estate investment trusts, has been struggling to attract mega listings and bolster trading volumes. SGX hosted just four initial public offerings in 2024, according to its website. That compares with 71 new company listings recorded by its rival regional bourse Hong Kong Exchanges and Clearing Ltd ( opens new tab. Chinese companies are looking to tap the Singaporean bourse as they look to enter, or expand business in, Southeast Asia amid a trade war with the United States, Jason Saw, investment banking group head at CGS International Securities, said. U.S. President Donald Trump imposed tariffs of 145% on imports of Chinese goods, and China in turn raised tariffs on U.S. goods to 125%, before the two sides agreed a 90-day pause last weekend. But uncertainty remains, given the time limit and the Trump administration's unpredictability. Enquiries about listings on SGX "shot through the roof" after Trump ramped up his trade actions against China, Saw said. "For the next years and decades, gateways from China to the world are going to be more important," said Pol de Win, senior managing director and head of global sales and origination at SGX. "Singapore is an important gateway, whether it's trade (or) business activity from China to the outside world, and a listing in Singapore is an important component of that." De Win did not mention the listing plans of the Chinese and Hong Kong firms. CGS International, a unit of state-owned brokerage China Galaxy Securities ( opens new tab, is working with at least two China-based companies to list on the SGX as early as this year, according to Saw. He declined to name the companies. Some of the mainland Chinese and Hong Kong companies could raise around $100 million via primary listings in Singapore, said one of the sources. SGX is usually not the first choice for Chinese companies eyeing an offshore market debut. Most of them prefer Hong Kong due to Beijing's support and a large pool of institutional and retail investors more familiar with Chinese brands. Beijing's efforts to boost ties with Southeast Asia, amid escalating tension with Washington, have, however, encouraged some Chinese companies to increase their presence in the region, capital market advisers said. The listing plans in Singapore come after the city-state in February announced measures to strengthen its equities market, which included a 20% tax rebate for primary listings, and vowed to unveil a next set of measures in the second half of 2025. The initiatives are set to boost interest in the local IPO market, said Ringo Choi, EY's Asia Pacific IPO Leader, adding that Singapore's "political stability and neutral stance" on geopolitical matters should appeal to companies. Not many, however, see Singapore closing its gap with Hong Kong in equity listings in the near future, due to factors including Singapore's relatively conservative investors and stricter listing requirements. "You need to make it easier for companies, especially technology companies, to list," said the managing director of a Singapore-based multinational software company, who declined to be named as he was not authorised to speak to the media. "Most of the startups in the region are headquartered in Singapore, so this should be the place they list."
Malay Mail
14-05-2025
- Business
- Malay Mail
Economists dial back Malaysia's 2025 growth forecast amid softer household demand
BENGALURU, May 14 — Malaysia's economy likely grew at its slowest pace in a year in the first quarter, losing momentum due to weakened household consumption and exports, according to a Reuters poll of economists. Advance estimates showed that key sectors, including services and manufacturing, expanded more slowly than in the previous quarter as consumers tightened spending and export momentum faded amid US–China trade tensions. Southeast Asia's third-largest economy expanded 4.5 per cent in the first three months of the year compared to the prior-year period, according to the 8–13 May poll of 21 economists, in line with a preliminary estimate released in April. The economy grew 5 per cent in the fourth quarter. 'The higher-frequency data such as retail sales, car sales, loan growth and imports of consumer goods are moderating relative to Q4 2024. This is an indication that consumption is likely to be on the softer side,' said Ahmad Nazmi Idrus, head of economics at CGS International Securities. Maintaining growth momentum this year would be difficult due to uncertainty from the global trade war, he said. In April, economists lowered Malaysia's 2025 consensus growth forecast to 4.3 per cent from 4.7 per cent earlier in the year, citing trade tensions and weaker domestic consumption, while the International Monetary Fund (IMF) has cut its forecast to 4.1 per cent. Malaysia faces a duty of 24 per cent on exports to the United States starting in July unless a bilateral deal is reached. Prime Minister Datuk Seri Anwar Ibrahim said this month the US government had agreed to further negotiations, but the economy was unlikely to meet its 4.5–5.5 per cent 2025 growth target due to the trade war. The US and China – Malaysia's two major trading partners – agreed a temporary 90-day truce on tariffs this week, but risks to economic growth remain. In response to a weaker outlook, Bank Negara Malaysia (BNM) has announced a reduction to the statutory reserve requirement (SRR) ratio of 100 basis points to 1.00 per cent, effective Friday, which will inject roughly RM19 billion into the banking system. Economists have also adjusted their outlook on interest rates, now forecasting one rate cut in 2025 in a Reuters poll, from an earlier projection that rates would remain flat at 3 per cent this year. 'Escalating... trade tensions under a second Donald Trump administration, which have resulted in higher and more widespread US tariffs than those imposed during his first term, could prompt BNM to ease monetary policy more,' said DBS economist Chua Han Teng. — Reuters
