Coliwoo Bukit Timah Fire Station is scheduled to open this month (Image: LHN Group)
LHN Group has secured the go-ahead from shareholders and conditional approval from the Singapore Exchange for a listing of the developer’s Coliwoo co-living business.
LHN received a letter from the SGX confirming Coliwoo’s conditional eligibility to list on the mainboard of the exchange, subject to compliance with listing requirements, pre-quotation disclosures and documents submissions, the group said Wednesday in a filing. The eligibility is in effect for three months from 9 September.
Shareholders approved the spin-off and separate listing of Coliwoo at an extraordinary general meeting held Tuesday, LHN said in a separate operational update. In addition, dual-listed LHN announced that 30 October would be its last trading day on the HKEX, as low volume has indicated little demand for the stock from Hong Kong investors.
“The delisting from HKEX and the proposed spin-off and separate listing of Coliwoo are strategic moves to streamline our operations, enhance shareholder value, and focus on our future growth trajectory,” said Kelvin Lim, executive chairman of LHN and founder of Coliwoo.
Waiting Game
The planned listing of Singapore’s largest co-living operator comes after LHN formally established a separate Coliwoo entity last December to hold the rental residential business. The group applied for the Coliwoo listing in April but has yet to provide financial details.
Kelvin Lim, executive chairman of LHN and founder of Coliwoo
LHN said Wednesday that the launch of Coliwoo’s initial public offering would depend on prevailing market conditions and that there was no certainty as to whether and when the IPO and listing would take place.
In May, LHN agreed to sell a formerly Coliwoo-branded co-living hotel in the city-state’s Geylang area for S$25.8 million (then $20 million) in a bid to streamline operations and shift assets off the books. The Geylang asset is one of three freehold co-living properties put up for sale by LHN last October, the others being the 39-key 471 Balestier Road and the 60-key 404 Pasir Panjang Road.
In June, LHN won a tender for the tenancy of a state-owned property in the Pasir Ris area, with plans to convert the existing structures into Coliwoo’s first resort-style chalet. The group is also set to open the 62-room Coliwoo Bukit Timah Fire Station this month after winning a tender in April 2024 for reuse of the firehouse near the Bukit Timah Nature Reserve and Bukit Batok Nature Park.
High Occupancy
The 2,960-room Coliwoo platform had a 97.2 percent occupancy rate at the end of June, while LHN’s industrial space and commercial space had respective occupancy of 97.9 and 92.7 percent, according to the operational update.
“Our space optimisation segment, with its Coliwoo portfolio, has maintained high occupancy rates, and we’ve further expanded our co-living offerings with the addition of the new resort-style chalet at 159 Jalan Loyang Besar,” Lim said. “Our facilities management business also saw solid growth, with new contract wins and existing contract renewals, while our energy segment continues to expand its renewable energy capacity.”
LHN’s shares rose more than 8 percent Wednesday to close at S$0.93.
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