Metrocon, a Singapore-based construction and engineering firm, is set to make its debut on the Singapore Exchange (SGX) by acquiring the Catalist listing of Hatten Land Limited, a property developer currently under judicial management. The proposed S$28 million reverse takeover (RTO) involves the issuance of approximately 107.7 million new shares at S$0.26 each to Metrocon's owner, LBD Engineering Pte. Ltd. This strategic move aims to facilitate Metrocon's public listing without undergoing a traditional initial public offering (IPO).
Metrocon specializes in foundation engineering, providing essential services such as piling and groundwork for various construction projects, including public housing, tunnels, and infrastructure near existing structures. The company has experienced significant growth, with revenues more than doubling over the past three years, from S$23.6 million in 2023 to S$61.1 million in 2025. Currently, Metrocon has an order book valued at S$82.5 million, with projects scheduled for completion over the next 24 months.
The acquisition is also a pivotal component of Hatten Land's restructuring strategy. The company has been under judicial management since August 2024, and its shares have been suspended from trading since then. By shifting its business focus entirely to foundation engineering, Hatten Land plans to rename itself Metrocon Holdings Limited upon completion of the RTO. This transformation is expected to restore trading of the company's shares and stabilize its financial position.
The transaction is subject to shareholder approval at an extraordinary general meeting scheduled for July 22, 2026. If approved, the deal will pave the way for Metrocon to be listed on the SGX, capitalizing on the anticipated growth in Singapore's construction sector. The sector is entering a period of sustained growth, supported by a steady pipeline of government infrastructure projects and continued demand from private developers. Metrocon's CEO, Tan Kean Seng, expressed confidence in the opportunity, stating that the RTO aligns with the company's objectives and represents the right opportunity to pursue a public listing.
The proposed acquisition also includes a compliance placement, where up to 25 million additional shares will be issued at no less than S$0.20 each to meet SGX Catalist's minimum public float requirements. Following the consolidation and issuance of new shares, the enlarged group will have up to 153.9 million shares, implying a market valuation of about S$40 million based on the S$0.26 issue price. LBD Engineering is expected to hold approximately 60.2% of the enlarged company, with around 15.2% of the shares held by the public.
This strategic move marks a significant milestone in Hatten Land's efforts to diversify its business and stabilize its financial position. By transitioning from property development to foundation engineering, the company aims to leverage Metrocon's expertise and established track record in the construction industry. The RTO is designed to lift the suspension of Hatten Land's shares and restore trading, which could have a significant impact on share price and liquidity. The completion of the RTO is targeted within 14 days after all conditions are met, with a long-stop date of November 21, 2026.
As the construction sector in Singapore continues to expand, Metrocon's entry into the public market through this RTO presents new opportunities for investors and stakeholders in the industry. The company's focus on foundation engineering positions it well to benefit from the robust public sector pipeline and private sector demand for infrastructure projects. The successful completion of the RTO is anticipated to enhance Metrocon's financial standing and market presence, contributing to the overall growth and development of Singapore's construction and engineering landscape.
In summary, Metrocon's proposed acquisition of Hatten Land's SGX listing through a S$28 million reverse takeover represents a strategic initiative to enter the public market and capitalize on the growing demand for construction services in Singapore. The transaction is poised to reshape the company's business model, focusing on foundation engineering, and is a critical component of Hatten Land's broader restructuring efforts. With shareholder approval pending, the industry awaits the completion of this significant corporate action, which is expected to have a substantial impact on the market dynamics and investor sentiment in the construction sector.