<div id="readability-page-1"><div>[SINGAPORE] Many Singapore companies that choose to list in the US do so in search of higher valuations and deeper liquidity, but consultancy firm Enigmatig’s decision to debut there was mainly driven by consideration for its clients, who are more aware of the American exchanges.Enigmatig – which was founded 15 years ago in Singapore and is still headquartered here – began trading on the NYSE American in June, after an initial public offering (IPO) of about three million Class A ordinary shares at US$5 per share that raised some US$15 million. The company’s primary business is helping clients incorporate companies overseas and providing related corporate services such as office setup, licensing and compliance. As at FY2024, it had 55 clients from 15 jurisdictions, with most based in Asia-Pacific markets such as Hong Kong, Malaysia, Thailand, China and the United Arab Emirates. Enigmatig’s clients – the majority are small businesses, with about five to 10 larger ones – include many that seek to establish financial services internationally.Right after the Covid-19 pandemic, Enigmatig moved ahead with its IPO plans, said founder and chief executive officer Desmond Foo in an interview with The Business Times.He listed three reasons for why the US was picked as the preferred listing location. The first, said Foo, was that clients from different countries felt they could strongly resonate with the US as Enigmatig’s choice of listing venue. Enigmatig’s chief financial officer, Teo Mingwen, said that regardless of where a client is from, the US is acceptable because it is the largest capital market in the world.He said that the consultancy’s international clients were familiar with US bourses such as the New York Stock Exchange and Nasdaq. By comparison, he pointed out that the global recognition for exchanges like the Australian Securities Exchange and Hong Kong Stock Exchange was probably not as high. Second, with the experience gained by listing in the US, Enigmatig would be in a better position to provide corporate services to bigger clients that may also want to launch an IPO there in the future, said Foo. The third reason is the opportunity to tap into a large number of institutional investors and underwriters in the country, he added.Foo said that access to institutional investors globally – also offered by a listing in the US – is attractive for Enigmatig’s clients across different jurisdictions.In H1 2025, 11 Singapore companies launched an IPO on Nasdaq. In contrast, only two debuted on NYSE American, with one of them being Enigmatig.The consultancy listed on NYSE American to “push its own limits” and take a road generally less travelled by companies, said Foo. <div><figure><div><img height="760" src="https://imageproxy.pbkrs.com/https://cassette.sphdigital.com.sg/image/businesstimes/116cc62897e4ac880683038cb831ec2e2128b58bf31cb3bfef9467777fddd8ea?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1140" original-src="https://imageproxy.pbkrs.com/https://cassette.sphdigital.com.sg/image/businesstimes/116cc62897e4ac880683038cb831ec2e2128b58bf31cb3bfef9467777fddd8ea"/></div><figcaption>Enigmatig’s founder and chief executive officer Desmond Foo at the NYSE podium. PHOTO: ENIGMATIG</figcaption></figure></div>Enigmatig did not choose to list in Singapore because many of the company’s international clients may not be that familiar with the Singapore Exchange (SGX), said Teo. Foo noted that most clients are based outside of Singapore, “so whatever we do in Singapore, they will not be able to see it, they will not be able to feel it”. He added that if Enigmatig had gone for a Singapore IPO, most of the institutional investors would have come from Singapore, which is not big in size to begin with. Therefore, “we can’t have that much of a chance to actually raise funds”, he added. On how the SGX could improve to attract more IPOs, Teo noted that many exchanges elsewhere employ the strategy of getting large-cap listings to gain attention. This would attract IPOs from smaller companies over time, he said. <h2>From IPO to expansion</h2>For the FY2024 ended Sep 30, Enigmatig’s total revenue experienced a year-on-year decline of 13.9 per cent to US$4 million, while gross profit dipped by 15 per cent to US$2.7 million. Its financial performance weakened because two-thirds of its sales team were focused on the IPO and some sales efforts were neglected, said Teo. “We are a small company, and manpower constraint is always the biggest thing,” he noted. An unaudited financial report showed that for the first half of FY2025, Enigmatig’s total revenue was US$2.9 million, up by 112.1 per cent from the same period in FY2024. Gross profit rose by 192.1 per cent to US$2.2 million.Teo said that the stronger performance was due to the consultancy shifting its focus back to sales. Enigmatig will use part of the US$15 million in IPO proceeds to strengthen its business segments. It currently employs about 15 people across four offices in Singapore, Hong Kong, Shanghai and London, as well as a desk in Bangkok. To enhance corporate services, the consultancy will increase manpower in key markets and establish offices in more places, said Teo. Enigmatig has also built capabilities in regulation technology, including a customer relationship management platform that helps companies reduce compliance costs. On this front, it plans to embark on further research and development, and potentially pursue mergers and acquisitions. Enigmatig last closed at US$5.65 per share, a 13 per cent increase from its IPO price of US$5. As at Friday (Aug 29), its market capitalisation was US$163.3 million.</div></div>

Enigmatig, a Singapore-based consultancy, has opted for a US listing on NYSE American, driven by client familiarity with American exchanges. The IPO raised $15 million through the sale of three million shares at $5 each. Enigmatig aims to enhance corporate services and access institutional investors. Despite a 13.9% revenue decline in FY2024, the company reported a 112.1% revenue increase in H1 FY2025, attributing this to a renewed focus on sales. The IPO proceeds will be used to expand operations and enhance services in key markets.

Singapore consultancy Enigmatig opts for US listing where their clients resonate