Malaysian oil explorer Hibiscus eyes $200m Spac listing in Singapore

KUALA LUMPUR • Hibiscus Petroleum is considering listing a special purpose acquisition company (Spac) in Singapore that could raise as much as $200 million, according to people familiar with the matter.

The Malaysian independent oil and gas explorer has held talks with potential advisers on the potential Spac initial public offering (IPO), said the people, who asked not to be identified as the information is confidential.

The blank-cheque company, which could raise $150 million to $200 million, will look for acquisition targets in the renewable energy sector, the people said.

Discussions are at an early stage and the Kuala Lumpur-based company could decide not to proceed with the plan, the people said.

"As part of this long-term energy transition strategy, we are looking at all forms of funding structures," a representative for Hibiscus said in response to Bloomberg News queries, adding that no decision has been made. The company declined to comment on a Spac listing plan.

Shares in Hibiscus rose as much as 2.4 per cent in early trading yesterday in Kuala Lumpur, giving the company a valuation of about US$605 million (S$819 million).

Singapore's IPO market has been dominated by Spac listings this year. Blank-cheque companies raised about US$316 million through first-time share sales on the Singapore Exchange, accounting for 95 per cent of all the funds raised via IPOs, according to data compiled by Bloomberg.

Hibiscus itself was the first Spac to be listed on the Malaysian bourse in July 2011. It became an oil and gas exploration firm a year later after acquiring a 35 per cent stake in Lime Petroleum, whose assets included concessions in the Middle East.

The company has since grown its portfolio to include energy assets in Australia, Malaysia, Britain and Vietnam, according to its website.

BLOOMBERG