Parkson Retail Asia Pte., a unit of Malaysia’s Parkson Holdings Bhd., aims to raise as much as S$181 million ($142 million) in an initial public offering in Singapore, said two people with knowledge of the matter.
The company, which will start marketing the offer to investors today, plans to sell 147 million shares at S$0.935 to S$1.07 each, the people said, asking not to be identified as the information is private. The company has the option to expand the IPO by 22 million shares, they said.
The company, part of Malaysian businessman William Cheng’s Lion Group, initially planned to raise between S$300 million to S$500 million, and scaled down the offering due to volatile market conditions, one person said. It plans to start trading by early November, the person said.
Parkson operates 36 department stores in Malaysia and seven in Vietnam, according to its website. It plans to use the proceeds from the IPO to open new stores in Indonesia, Malaysia, Vietnam and Cambodia, one of the people said.
The company said last month it received conditional approval for a listing from Singapore’s stock exchange. CIMB Investment Bank Bhd. and HSBC Holdings Plc were hired to help manage the sale, the company said in August.
Parkson is unable to disclose any information at this stage, Quah Le Ching, a spokeswoman at Lion Group, said in an e-mail. Lion is a group of companies with businesses that include steel mills, property development, and construction.