Home Issues Stocks To Watch

Spindex: Undervalued tech manufacturing player; potential privatisation candidate

Thiveyen Kathirrasan
Thiveyen Kathirrasan2/10/2021 7:0 AM GMT+08  • 4 min read
Spindex: Undervalued tech manufacturing player; potential privatisation candidate
Given its cheap valuations, Spindex is expected to remain an attractive target for privatisation, in line with industry trends.
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

The tech manufacturing industry is a key component in the value chain of industries including automotive, telecommunications, consumer electronics and household appliances. Singapore is home to a large number of tech manufacturing and assembly stocks, mostly in the mid- to small-cap range of less than $1 billion.

Over the recent few months, a series of investments or takeover offers have been made for some of the notable companies in this sector. They include a privatisation-cum-delisting offer of $2 per share for Hi-P International by its chairman Yao Hsiao Tung in December 2020; a $99.7 million buyout offer from electronics service provider, AEM Holdings, for electronics contract manufacturer, CEI, in January 2021; and the $1.65 per share offer for Sunningdale Tech jointly made by its chairman Koh Boon Hwee with the Novo Tellus private equity fund in November 2020. The rationale for these corporate actions is mainly centred around business synergies, apart from cheap and attractive valuations of takeover targets.

Spindex Industries is a precision machines components manufacturer and assembly solutions provider. Spindex mainly serves the following business sectors: imaging and printing; machinery and automotive systems; and consumer appliances and related products.

For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.