IPO scene under Singapore's threat from US, Australia

Homegrown firms such as Simpple and Grab chose to list in the US.

- Noreen Jazul

MARKETS & INVESTING 

Whilst Singapore and Hong Kong have been fierce competitors in the IPO scene, experts suggest that Singapore shift its focus to the emerging challengers: the United States and Australia.

In 2023, the United States saw the listing of Singapore-based companies such as Simpple and Ohmyhome. Other homegrown firms like Grab and PropertyGuru are also listed in the US.

“If an entity wants to list totally outside of China, then there’s no need to compete with Hong Kong, because obviously, Hong Kong is very much tied to China,” CLA Global TS Holdings Group CEO and Chief Innovation Officer, Henry Tan, told the Singapore Business Review.

Tan said there are two main reasons why some potential IPO entrants in Singapore are going to the US and Australia: valuation and volatility.

One way to increase Singapore’s market valuation is by targeting companies in Southeast Asia, rather than Korea and China.

“If it’s an ASEAN firm, for example a Thai, Philippine, or Malaysian company, coming to Singapore Exchange it will be seen as an