LHN Group has received the approval in-principle from Singapore Exchange S68 (SGX) for the proposed transfer to the Mainboard of the exchange.
The approval is subject to compliance with SGX’s listing requirements and approval from LHN’s shareholders.
The group says it will be seeking its shareholders’ approval at an extraordinary general meeting (EGM).
LHN, on Aug 11, announced that it will be transferring its listing from the Catalist board to the Mainboard of the SGX.
The proposed transfer was said to provide the company with a “more suitable platform for the listing and trading of its shares arising from, among others, the perceived premium that investors accord to companies listed on the Mainboard as compared to companies listed on Catalist”.
“The board is also of the view that a listing on the Mainboard would provide the company with greater visibility and recognition in the market and amongst investors (including institutional and overseas based investors) and enhance the image of the company both locally and overseas. This enables the company to recruit better talents, strengthen its brand and enlarge business opportunities,” said the company in its Aug 11 statement.
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It added that a listing on the Mainboard would give the company a “wider platform and greater opportunities for future fund raising”. It will also give the company access to a larger and more diverse investor market that will enable it to better tap into capital markets to meet its funding requirements when needed.
Shares in LHN closed 0.5 cents lower or 1.61% down at 30.5 cents on Oct 23.
