Choo Chiang Holdings (“CCH” or the “Company”) is offering 33.28m shares at $0.35 each. 1m shares will be by public offer and the rest via placement. The offer will close on 27 July at 12pm and starts trading on 29 July. The market cap will be around S$72.8m
The Company has a retail presence in Singapore of over 20 years and is a leading retailer and distributor of electrical products and accessories in Singapore. Some of these products include 3rd party and proprietary brands and they carry eight product categories.
The Company also owns 13 investment properties and 4 retail properties of which 9 of the investment properties are rented out to 3 parties.
The EPS as of FY2014 is around Singapore 2.66 cents and that translate into a PER of 13.1x
The revenue is stagnant and margins are declining.