Singapore-based CoAssets stages landmark listing on the Australian Securities Exchange, raising S$6.72m.
Online lending platform CoAssets listed on the ASX this morning at an issue price of S$0.41 per share, giving it a market cap of S$67.63m. CoAssets says that the IPO, which represents the first time that a Singapore-based platform has gone public, will lay the foundations for its expansion throughout the Asia Pacific region, while also boosting investor awareness.
CoAssets is a “crowdfunding” platform which allows real estate developers and small businesses to list investment opportunities online, subject to vetting by the platform. The platform’s sweet spot is the S$100k to S$5m funding gap. Incorporated in Singapore in 2013, CoAssets has since grown from a two man team to a 65 person operation. Prior to today's IPO, the company had raised S$4.8m through a series of private placements, including a S$1m Series A in August 2015, which was led by Innosight Ventures. CoAssets has been sizing up an IPO since the summer of last year.
The company points to the creation of its own event series as a key differentiator. The EPIC events (Expo for Property Investing & Crowdfunding) sporadically bring together users from both sides of the platform to meet face-to-face. In 2015, one of these events (EPIC Kuala Lumpur), directly led to the generation of S$10m in transactions.
Commenting on the IPO, CEO and Co-Founder of CoAssets Getty Goh said: “As a homegrown Singapore company, we are proud to be flying the flag high; demonstrating that we can deliver value within the Asia Pacific region. Singaporean companies are noted for our strong adherence to compliance and regulatory procedures; as well as our transparency in conducting business. Singapore has been a great platform for our expansion since launch. We are ready to take the next step as a listed company and continue to drive value for our customers and shareholders. Today, we announce our listing on the ASX and notch a significant milestone for both economies, as the first crowdfunding company to list in Australia.”
CoAssets currently boasts a user-base of over 55,000, and has facilitated S$45m in funding to date – spread across 75 deals. The company charges a facilitation fee of 3-5% of funds raised on the platform, which represents its primary revenue driver. CoAssets posted revenues $2.182m in FY2016, up from S$816,411 in the previous year. The company posted a statutory net loss after tax of S$2.704 in FY2016 – a result that is attributed to having invested in rapid expansion over the past six months, as well as to a number of one-off costs associated with the IPO.
Goh’s vision for the future is simple enough: “Our mission is for CoAssets to become one of the most trusted and leading crowdfunding companies in Asia Pacific."