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There are so many many red flags in the Amtek IPO that flagsellers have run out of stock! 
Extracted from here: http://www.financeasia.com/News/239687,hong-kong-listings-called-off-while-amtek-cuts-ipo-size.aspx
Meanwhile, in Singapore, Amtek Engineering downsized its IPO after the institutional demand was deemed to be insufficient. According to a source, there were enough orders to cover the base deal, but not to also allocate the greenshoe. And given the market environment, the bookrunners didn’t want to go ahead without a shoe as that would have deprived them of the ability to help stabilise the stock in the secondary market.
So, they chose instead to reduce the base deal to $200 million from $250 million, which allowed them to allocate a 15% greenshoe. If the shoe is fully exercised the final deal size could rise to $287 million. In light of the modest institutional demand, the company also scrapped the 20% upsize option and increased the retail tranche to 10% from 5%.
Amtek, which provides end-to-end design and manufacturing solutions for precision metal, plastic and rubber components and casings, is due to start trading on December 1. The IPO is being arranged by Credit Suisse, Morgan Stanley and Standard Chartered.
One of the concerns investors had was that all the 200 million shares that comprised the base offering were secondary, which obviously begs the question of why this is a good time to buy when the original shareholders are divesting. The shares were sold by an entity owned by Standard Chartered Private Equity, CVC Capital Partners and the company management, which teamed up to buy the company in 2007. At the time of the listing, Standard Chartered Private Equity and CVC will each own 28.3% of the company, while the management will hold a combined 5.3%. Shareholders who participate in the IPO will own 36.8%.
Extracted from here: http://www.financeasia.com/News/239687,hong-kong-listings-called-off-while-amtek-cuts-ipo-size.aspx
Meanwhile, in Singapore, Amtek Engineering downsized its IPO after the institutional demand was deemed to be insufficient. According to a source, there were enough orders to cover the base deal, but not to also allocate the greenshoe. And given the market environment, the bookrunners didn’t want to go ahead without a shoe as that would have deprived them of the ability to help stabilise the stock in the secondary market.
So, they chose instead to reduce the base deal to $200 million from $250 million, which allowed them to allocate a 15% greenshoe. If the shoe is fully exercised the final deal size could rise to $287 million. In light of the modest institutional demand, the company also scrapped the 20% upsize option and increased the retail tranche to 10% from 5%.
Amtek, which provides end-to-end design and manufacturing solutions for precision metal, plastic and rubber components and casings, is due to start trading on December 1. The IPO is being arranged by Credit Suisse, Morgan Stanley and Standard Chartered.
One of the concerns investors had was that all the 200 million shares that comprised the base offering were secondary, which obviously begs the question of why this is a good time to buy when the original shareholders are divesting. The shares were sold by an entity owned by Standard Chartered Private Equity, CVC Capital Partners and the company management, which teamed up to buy the company in 2007. At the time of the listing, Standard Chartered Private Equity and CVC will each own 28.3% of the company, while the management will hold a combined 5.3%. Shareholders who participate in the IPO will own 36.8%.
Gone case! IPO size cut!
Small victory for small investors. Looks like even the big funds also not so stupid to subscribe. Beware that that the share allocation can still be switched from BB to retail investors.
The underwriters may lose their pants on this one.
http://www.reuters.com/article/idUSL3E6MO03920101124
Amtek Engineering cuts size of Singapore IPO-IFR
Tue Nov 23, 2010 10:22pm EST
Nov 24 (Reuters) - Amtek Engineering has slashed the size of its Singapore initial public offering and will now raise a maximum of S$299 million ($228 million), IFR reported on Wednesday.
Amtek had previously planned to issue as many as 342 million shares, including greenshoe and upsize options, at a price of S$1.30-1.60 per share, Reuters had reported. [ID:nSGE6AB02S]
Amtek, delisted from the Singapore bourse about three years ago after being bought out by private equity firm CVC Capital and a unit of Standard Chartered , will issue 200 million shares at S$1.30 each, IFR said.
The firm has an option to increase the offer by 30 million shares, IFR reported.
Credit Suisse and Morgan Stanley are joint global coordinators for the Amtek IPO and are joint lead managers, bookrunners and underwriters alongside Standard Chartered. (By Daniel Stanton; Editing by Anshuman Daga)
Small victory for small investors. Looks like even the big funds also not so stupid to subscribe. Beware that that the share allocation can still be switched from BB to retail investors.
The underwriters may lose their pants on this one.
http://www.reuters.com/article/idUSL3E6MO03920101124
Amtek Engineering cuts size of Singapore IPO-IFR
Tue Nov 23, 2010 10:22pm EST
Nov 24 (Reuters) - Amtek Engineering has slashed the size of its Singapore initial public offering and will now raise a maximum of S$299 million ($228 million), IFR reported on Wednesday.
Amtek had previously planned to issue as many as 342 million shares, including greenshoe and upsize options, at a price of S$1.30-1.60 per share, Reuters had reported. [ID:nSGE6AB02S]
Amtek, delisted from the Singapore bourse about three years ago after being bought out by private equity firm CVC Capital and a unit of Standard Chartered , will issue 200 million shares at S$1.30 each, IFR said.
The firm has an option to increase the offer by 30 million shares, IFR reported.
Credit Suisse and Morgan Stanley are joint global coordinators for the Amtek IPO and are joint lead managers, bookrunners and underwriters alongside Standard Chartered. (By Daniel Stanton; Editing by Anshuman Daga)