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Samudra Energy defers Singapore IPO due to volatility

Samudra Energy cites recent heightened volatility in the markets as the reason it is deferring its initial public offering on the Singapore Exchange.

SINGAPORE: Samudra Energy has confirmed earlier reports that it will postpone its initial public offering (IPO) in Singapore. In an email to Channel NewsAsia on Wednesday (Aug 6), Samudra says this because of recent heightened volatility in the markets.

Samudra owns oil and gas interests in Indonesia. It filed a prospectus for an IPO last month, but did not give pricing details.

According to a Reuters report, Samudra had planned to sell about 131 million shares at a price range of S$1.89 to S$2.11 per share. The IPO was estimated to raise as much as S$276 million.

Dr Ridwan Rusli, CEO and Executive Director of Samudra Energy, said, "Given the current market volatility, we think that now is not the optimal time for Samudra Energy to move forward with an IPO. We remain focused on our business and will update investors, where appropriate, in due course."

There has been renewed activity in the IPO market in Singapore in recent weeks. Accordia Golf Trust started trading on the Singapore Exchange last week, but on its debut, its units closed 10 per cent below their IPO price. 

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