Public tranche in Ayondo IPO nets subscription of 4½ times

Singapore

LOSS-MAKING social trading broker Ayondo's initial public offering (IPO) drew roughly four and a half times as many applications as there were shares in the public tranche, the Catalist wannabe said on Friday.

There were 875 valid applications for about 40.36 million offer shares, compared with the 8.9 million actually available. In the end, 561 applicants succeeded in snagging shares.

With another 71.87 million placement shares allotted to 270 placees, the invitation was subscribed by about 1.3 times in all.

Europe-based Ayondo, which has had Singapore private equity investor Luminor Capital as its largest shareholder since 2014, has not been shy wanting to be the Republic's first listed financial technology firm.

It registered its offer document last week with a price of S$0.26 a share, and trading is expected to start on March 26. Market capitalisation as at the IPO will be S$130.7 million.

Ayondo made a stab at a listing last year through a proposed S$158 million reverse takeover with developer Starland Holdings, but that fell through after conditions were not met or waived by the long-stop date.

The two companies announced settlement agreements in October over the costs incurred in the bid.

Starland has separately announced that it will not convert a S$1.03 million loan into shares in Ayondo.

The board said on Friday that, "having considered its core operating business", Starland has decided instead to take the sum, as well as accrued and unpaid interest, in cash, within 14 days of Ayondo's Catalist admission.

Another S$1.141 million was automatically converted into about 6.5 million new Ayondo shares and issued to Starland in full settlement, pegging its interest in Ayondo at about 1.2 per cent after the listing.