Industrial real estate developer Soon Hock launches IPO

Real estate developer Soon Hock Enterprise has launched its initial public offering (IPO) on the Singapore Exchange mainboard, it announced on Oct 8.

- Sue-Ann Tan

It is offering around 216 million shares at 58 cents each, in conjunction with its listing. The IPO will close at noon on Oct 14 and the shares are expected to begin listing and trading at 9am on Oct 16.

Soon Hock does industrial property development and industrial property investment in Singapore.

It has been involved in the launch of over 1,200 units of strata-titled industrial properties and has marketed, sold and delivered about 900 strata-titled units across industrial and commercial zones in Singapore.

It noted in a statement: “The group has strong visibility on future cash flows through substantially funded future development projects that are financed through a combination of internal and external funds, as well as early-stage sales.”

Upcoming projects that can contribute to revenue in the next few years include Stellar@Tampines, which has pre-sold 168 units, and Skye@Tuas, which has received interest for one floor ahead of pre-sales expected to be launched in 2026.

The group also collects recurring income from two industrial properties in Kaki Bukit and Jurong West.

Soon Hock Enterprise executive director and chief executive Walter Tan said: “Having delivered industrial projects with a combined gross development value of over $1 billion, our group is well-positioned to capitalise on Singapore’s strength as a leading economic hub in the region, which has resulted in structural growth and rising demand for modern, high-specification industrial properties.”

He added that he believes the demand for factories, warehouses and worker dormitories will remain positive because of major infrastructure projects such as the Tuas Mega Port.

Demand is also supported by Singapore’s strategic location as a logistics hub, he said.