Stock Exchange
Singapore is considered the number one regional banking center. The Singapore Stock Exchange is Asia's first demutualised and integrated securities and derivatives exchange established in Singapore in December 1, 1999 resulted from the merger of the two financial institutions，the Stock Exchange of Singapore and the Singapore International Monetary Exchange. By 1998, the Stock Exchange of Singapore had a market capitalization of S$263 billion and 307 listed companies. It was also the first publicly held exchange in the Asia Pacific. On 23rd November 2000, the Singapore Stock Exchange was the first exchange to be listed through the public offer and the private placement.
The products offered by the Singapore Stock Exchange are traded through the electronic screen based system. The products that are:
• Equities
• Warrants
• Bonds, Debentures and Loan Stocks
• Exchange Traded Funds
• Real Estate Investment Trusts
• Business Trusts
• Infrastructure Funds and
• Depository Receipts
The following are the derivative products that are traded on the International Market :
• Short term interest rate futures and options on futures
•
Long term interest rate futures and options on futures
•
Equity Index futures and options on futures
•
Single Stock Futures and
•
The Structured Warrants
Customers of the Singapore Stock Exchange also benefit from the data and information services and they can be listed as follows:
• Singapore Stock Exchange Securities Book
• Singapore Stock Exchange Derivatives Quote
• Orders and Trades Data
•
Mobile Data Services
•
Listed Companies Data
•
Historical Market Data
•
Publications
•
Singapore Stock Exchange News
The Singapore Stock Exchange is the first stock exchange in Asia that trades in equity index futures. The company listings under the Singapore Stock Exchange is divided into the following :
Singapore Stock Exchange Main board
The companies that are listed under this head have to fulfill certain criteria relating to market capitalization, pre-tax profits and operating track records.
Singapore Stock Exchange SESDAQ
This is listing of new companies which do not have to fulfill any quantitative requirement. On application the companies listed on the SESDAQ can be transferred to the former category provided they fulfill the criteria of this list.
Companies that are ready to go public generally share a certain number of characteristics. Most of these companies have progressed beyond the start-up phase to a certain size and have become profitable, with prospects of further significant growth.The public market readily accepts companies that have achieved the following:
* A track record of revenue growth
* Capable leadership
* An experienced and credible management team
* Operations in a strong industry with potential for high
performance
A Mainboard Listing involves a potential listing applicant However, there are certain other non-quantitative
meeting certain quantitative requirements while a SESDAQ requirements that have to be met. A synopsis of the listing
Listing does not involve any quantitative requirements. criteria is set out in this table.
listing requirements in Singapore
|
|
MAINBOARD |
|
SESDAQ |
|
Alternative 1 |
Alternative 2 |
Alternative 3 |
|
Pre-Tax Profits |
Cumulative pre-tax profits of at least S$7.5 million over the last 3 consecutive years, with a pre-tax profit of at least S$1 million in each of those 3 years |
Cumulative pre-tax profits of at least S$10 million for the latest 1 or 2 years |
NA |
Nil (Business is expected to be viable and profitable, with good growth prospects) |
Market Capitalisation |
NA |
NA |
Market capitalisation
of at least S$80
million at the time
of the initial public
offering, based on
the issue price |
Nil |
Operating Track Record |
3 years |
NA |
NA |
NA* |
Continuity of Management |
3 years |
1 or 2 years as the case may be |
NA |
NA* |
Accounting Standard |
Singapore , US or International Financial Reporting Standards |
Continuing Listing Obligations |
yes |
Waived from having to comply with continuing listing obligation
stock exchange |
Listing process in Singapore
6 to 9 months Pre-listing preparation work period
*Appoint professionals and
advisors
*Due diligence work
*Pre-listing restructuring of
group
*Preparation of listing
Documents
21 days before lodgement
*Submission of IPO
application and
relevant documents
*Review of documents by
SGX
*Receipt of Eligibility-To-List
from SGX
14 days public comments period
*Lodgement of prospectus on
MAS website for public
comments*
*Public can submit comments
on lodged prospectus to
MAS
14 days registration
*Registration of prospectus
(from 7 days to 14 days,
if extended, after public
comments period)
*Issuer can launch offer
and distribute registered
prospectus after registration
The timing required for a listing varies with companies and depends on the complexities of the operations of the companies and the restructuring process undertaken prior to listing. Deloitte will be able to provide you with the necessary guidance and advice at each stage of the listing process. In the process, we maintain the highest level of professional integrity, objectivity and independence. A great majority of the companies we have helped to list remains as our clients today.
Tannet—Global Corporate Solution Provider，Value Investment & Strategic Development.
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