IPO WATCH

GALLANT Venture, an investment holding company, expects to get listed on Sesdaq around June 6, according to its prospectus registered with the Monetary Authority of Singapore on Friday.

But prior to the listing, major shareholder Parallax Venture Partners XXX will place out 280 million Gallant shares at 50 cents apiece. This block represents 11.6 per cent of total share capital.

There will also be a share transfer by another shareholder, PT Herwido Rintis, involving some 25 million Gallant shares.

Gallant will have a market capitalisation of $1.2 billion, comprising 2.41 billion shares of 50 cents apiece.

Following the share transfer and private placement, SembCorp Park Holdings will own 26.8 per cent of Gallant while another Singapore group, Ascendas, will have a 7.3 per cent interest.

Other substantial shareholders of Gallant are entities in which Indonesia's Salim Group has interests.

Gallant is an investment holding company focusing on regional growth opportunities. Its existing investments are mainly in Batam and Bintan in Indonesia, under four major lines of business - utilities, industrial parks, resort operations and property development.

Gallant provides utilities services to Batamindo Industrial Park, Bintan Industrial Estate and Bintan Resorts. The group owns, manages and maintains industrial park properties in Batam and Bintan. It provides integrated support to the four resorts and seven hotel properties in Bintan Resorts.

Gallant plans to provide more rooms at Bintan Resorts and develop additional tourist attractions.

It intends to increase the capacity of ready-built factories at Bintan Industrial Estate and Batamindo Industrial Park.

The group believes that its strengths include a balanced portfolio of assets and the proximity of Batam and Bintan to Singapore.

Gallant's chairman is Lim Hock San and its chief executive officer is Eugene Cho Park.

For the half year ended June 30, 2005, Gallant achieved revenue of $103.8 million, profit before tax of $11.1 million, and profit after tax and minority interest of $4.2 million.

Net tangible assets per share as at June 30, 2005 came to 49.3 cents.