LHN launches Catalist listing to raise $17 million

SINGAPORE - Space optimisation specialist LHN Group launched its initial public offering (IPO) today.

The IPO will offer some 73.9 million placement shares at 23 cents each for its listing on the Catalist board of the Singapore Exchange.

The company aims to raise gross proceeds of $17 million through the IPO.

Nearly half of the group's proceeds will be channelled towards securing property leases and overseas expansion efforts.

Its three main business segments are space optimisation, facilities management and logistics service.

Its expertise is in refurbishing unused, old and under-utilised properties to increase their net lettable area and potential rental yield, before subleasing them to tenants.

Managing director Kelvin Lim said at a press briefing that a listed status will help it to attract more talents to join the group and increase its standing abroad.

LHN Group's revenue grew at a compound annual growth rate (CAGR) of 9.9 per cent from approximately $75.1 million in FY2012 to approximately $90.7 million in FY2013. During the same period, net profit grew at a CAGR of 34.7 per cent to some $12.7 million.

Trading of the shares is expected to commence on April 13.