Frasers Hospitality Trust - Balloting Results

Posted by Mr. IPO October 13, 2024

Food Innovators Holding Limited

Food Innovators Holdings Limited ("FIH" or the "Company") is offering 14m shares at $0.22 each, for which 13m shares will be through placement and the remaining 1m shares via a Public Offer. The IPO will close on 14 Nov at 12 noon and starts trading on 16 Oct 9am. FIH has two business models - the first is to be a master lease and sublease the space to other tenants and the second is to operate and manage restaurants. The Company currently has 12 restaurants in Japan, 10 in Singapore and 4 in Malaysia. The market cap based on the IPO price is around $24.9m. Financial Highlights FIH's revenue grew from $37.8m in FY2022 to $43.8m in FY2024. It is quite funny to see that being a master land lease holder has a higher margin than operating the restaurants, once again illustrating the point that it is better to be a landlord to shake leg and collect rent. According to the prospectus, the PER is around 19x. The Company intends to pay 20% of its net profit after tax a

Frasers Hospitality Trust ("FHT") announced that its public offer of 45.454m stapled securities was approximately 13.8x subscribed. I have to say that this a strong set of subscription results given the big float.

FHT will start the trading debut at 2pm on Monday 14 July 2014.

The over-allotment issue of 35.737m stapled securities have also been triggered, which means the price stablisation will occur should the debut be weak. Given the strong demand, my gut feel is that this will not be required in the first week.

It is not too difficult to get the shares. Investors who subscribed between 50 to 199 lots will receive about 9 lots each and the probability is around 42%.

I have shared with you the fair trading range of between 82c to 95c, my gut feel is that it will debut between 90c-93c.

Happy IPOing!