Shares of offshore wind recruitment firm Sheffield Green made a disappointing debut on the Singapore Exchange following its IPO.
The city-state-based company saw its shares close down by almost 24% at SGD 0.19 cents ($0.14) on the first day of trading.
The share offering of 24m new shares at SGD 0.25 each raised net proceeds of SGD 6m and was said to have been 1.4 times oversubscribed.
Sheffield Green listed on Singapore’s sponsor-supervised listing board Catalist, which is modelled on the London Stock Exchange’s Alternative Investment Market.
“This investor enthusiasm speaks volumes about Sheffield Green’s human resource services and market reputation within the renewable energy sector,” said Sheffield Green chief executive Bryan Kee.
“Joining the ranks of the SGX Catalist-listed companies is a strategic move that not only enhances our global brand visibility, but also opens doors to expansive capital resources.
“This pivotal moment paves the way for us to capitalise on future growth opportunities, such as broadening our geographical footprint in markets where there are significant renewable energy-related activities,” he added.
Kee recently told local media that the company had received advice about listing in the US, but decided to buck the trend of Singapore companies listing overseas because it did not foresee itself attracting enough investor interest there.
Boutique investment bank Evolve Capital Advisory acted as sponsor, issue manager and joint placement agent for Sheffield Green’s IPO.
“Sheffield Green has grown to become a significant provider of human resources services for the renewable energy landscape,” said Evolve Capital CEO Jerry Chua.
“Their expertise in procuring and training talent for the fast-growing offshore wind market sets them apart from the competition.
“Guiding the company through its IPO process reflects our goal of championing innovative and sustainable businesses and introducing them to the public via the SGX Catalist platform,” he added.
Sheffield Green is headquartered in Singapore, with subsidiaries incorporated in Singapore and Japan, and a branch office registered in Taiwan.
It supplies a wide range of personnel ranging from management, technical staff to offshore crew across industry sub-segments and various levels of seniority.
The company has said it is seeking to enter and expand into the market in the US and has teamed up with a potential partner to explore its options in expanding into the US East Coast market.
In addition, the group is planning to incorporate a subsidiary in Poland and Denmark to manage offshore wind projects in the Baltic region.
Sheffield Green is also in negotiations to conclude a framework agreement with a Dutch global entity, which is a leading global dredging contractor and marine services provider, to provide personnel to their offshore wind projects on a global basis by the end of the year.
The SGX has around 50 maritime-related companies listed on its exchange, with a total market valuation of about $22bn.
