SINGAPORE, Oct 19: Shares of Indonesian coal miner Geo Energy Resources Ltd surged as much as 51 percent above the initial public offering price in its trading debut on the Singapore Exchange on Friday.
Geo Energy shares rose as high as S$0.49 on volume of nearly 117 million shares, making it the most active stock in the Singapore market. The company sold 289.3 million shares at S$0.325 each and its IPO was 2.9 times subscribed.
‘The public offer was quite small so that drove up demand and the sector is quite attractive in the long term,’ said a trader. ‘With Sakari going to be delisted, there are very few pure coal plays in Singapore.’
PTT, Thailand’s top energy company, offered in August to buy out Singapore-listed coal producer Sakari Resources Ltd for $960 million as the oil and gas firm expands into coal to meet rising regional demand for the fuel.
(agencies)
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