SINGAPORE Trends and Developments Contributed by: Evelyn Wee, Sandy Foo, Tracy-Anne Ang, Terence Quek, Hoon Chi Tern, Goh Jun Yi and Tricia Teo, Rajah & Tann Asia Singapore LLP
ment of Avery Lodge, a purpose-built worker accom - modation provider, to Bain Capital for SGD750 million. That being said, there has been a noted uptick in IPO activity in the Americas and EMEIA (comprising Europe, the Middle East, India and Africa) regions in 2024, which recorded double-digit growth in IPO activity with 24% and 36% year-on-year growth in IPO volume and 37% and 45% growth in year-on-year total proceeds raised for the Americas and EMEIA, respectively. This flowed through to the Asia-Pacific region in the third quarter of 2024 with an increase in IPOs by 11%, with Mainland China and Hong Kong playing a pivotal role in such renewed activity. In light of this, there appears to be improved investment sen - timent and greater interest in traditional exit routes for PE investments, which could result in a more active IPO market (whether in Singapore or otherwise) in 2025 and beyond. Singapore itself has in recent years sought to improve the vibrancy of its equities market in the medium term in order to establish SGX-ST as an international cap - ital-raising platform for high-calibre companies. Such measures, if successful, may further bring back IPOs as a viable exit route for PE investors. The Equities Market Review Group was established by the Monetary Authority of Singapore (MAS) on 2 August 2024 to recommend measures to enhance the development of Singapore’s equities market. On 21 February 2025, the MAS shared the first set of meas - ures proposed by the Equities Market Review Group to enhance the competitiveness of Singapore’s equi - ties market. This first set of measures encompasses the pillars of demand and supply, complemented with regulatory initiatives. They include: • Demand: Measures to boost investor interest and liquidity, such as the launch of a SGD5 billion Equi - ty Market Development Programme to strengthen local fund management capabilities and attract fund manager listings, to support capital inflows into Singapore-listed equities by adjusting the Global Investor Programme and the expansion of the grant for the Equity Market Singapore scheme; • Supply: Measures to enhance the appeal to qual - ity listings, such as tax incentives to attract new
corporate listings and new fund manager listings, and financing support to strengthen the growth of companies; and • Regulatory measures: Transition towards a more disclosure-based listing regime to bolster investor confidence. On 15 May 2025, Singapore Exchange Regulation (SGX RegCo) and the MAS issued Consultation Papers on Streamlining of Prospectus Requirements and Broadening of Investor Outreach Channels and on a Shift to More Disclosure-Based Regime, respectively. The proposed changes include streamlining prospectus disclosure require - ments for primary listings, in order to focus on core requirements for informed decision-making, while aligning with international standard; reforms to the SGX-ST Listing Rules (Mainboard) to streamline its qualitative, merit-based admission criteria while ensuring the disclosure requirements remain suf - ficiently relevant and robust; and a more targeted approach in its administration of post-listing que - ries and obligations to address market feedback of unintended negative effects and to better balance market discipline and investor protection. In a similar vein, a number of Indian start-ups initially domiciled abroad, including some in Singapore, have been embarking on “reverse flips” by way of schemes of arrangement in Singapore and India in order to red - omicile their parent entities back to India. This strate - gic move back home is aimed at tapping into India’s capital markets, seen as a bright spot compared to global markets, as well as its favourable regulatory environment. One such example is Peak XV Partners- backed Pine Labs, which secured orders from the High Court of Singapore and the National Company Law Tribunal in India for the amalgamation of the Sin - gapore parent entity with its Indian subsidiary. Accord - ing to news articles, this “reverse flip” was undertaken in anticipation of a planned IPO with a valuation of as much as USD6 billion. Taking Back Listed Stocks The past year saw several publicly listed companies, on both the SGX and overseas stock markets, being taken private by PE firms. This reflects a broader glob - al shift in investment strategies, whereby PE firms are increasingly targeting undervalued or underperform -
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