Astrea IV PE Bond Alloted to All Valid Applicants

If you have applied for the public tranche of Astrea IV PE bond (Class A-1), you would have been allocated some units, if not all, of the bonds.

I had been lamenting that applicants of past initial public offerings (IPO) always had to go through lottery draws and the allocation process favoured the big players. The most recent one I had commented on was Netlink NBN Trust IPO in July 2017.

This time round, applicants applying for 2,000, 3,000 and 4,000 units of Astrea IV bond, get all they wanted. The rich investors applying for above $1,000,000 get only 11,000 units.

But we must not forget that the rich investors may have a second bite of the bonds through the placement tranche part of the IPO (S$121m, half of total).

Correct me if I am wrong. This is the first time that there is no balloting of applications for an IPO to the public (ie retail investors). I did not track all IPOs issued in the past.

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