SINGAPORE - Marine fuel supplier Chemoil Energy Ltd is looking to raise as much as US$124 million in its second attempt to list in Singapore after it cancelled a planned US$374 million IPO in October.
The company said it would sell a total of 224.8 million shares at a maximum price of US$0.55 a share, according to a prospectus filed with the Monetary Authority of Singapore on Friday. It plans to sell 160.17 million new shares and 64.63 million shares would be sold by Japan's Itochu Corp, a shareholder in Chemoil Energy said. The final pricing is due on Dec 12.
Chemoil said the proceeds would be used to expand overseas in the United Arab Emirates, India and Egypt. It would also invest in terminals in Singapore, the Netherlands and Panama, the prospectus said.
In October, Robert Viswanathan Chandran, founder and chief executive officer of the San Francisco-based marine fuel oil firm, said that that company had cancelled the IPO because he was disappointed with how investors valued the company.
Chemoil's shares were initially offered to investors at a price range of US$0.65-US$0.85. That price range was later lowered to US$0.55-US$0.85, before the IPO was pulled altogether. Bankers and investors said the main reason for the lukewarm response to the deal was the fall in oil prices.
JP Morgan and UBS are lead managers for the share offering. -- REUTERS