[SINGAPORE] Urban revitalisation specialist Lum Chang Creations (LCC) is set to raise S$12.3 million in gross proceeds through an initial public offering (IPO) on the Singapore Exchange (SGX), with a market capitalisation of S$78.8 million after listing.
“This is the best time for us to list,” said LCC managing director Lim Thiam Hooi in an interview with The Business Times.
He explained that the company is at an inflection point, scaling rapidly and entering a more mature growth phase.
Supportive government initiatives and favourable market conditions, he noted, make this an ideal window to go public.
LCC is offering 49 million placement shares at S$0.25 each, according to its final offer document filed on Wednesday (Jul 9). The public offer will close on Jul 17.
Shares of LCC will begin trading on the SGX Catalist board on Jul 21.
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RHT Capital is acting as the sponsor and issue manager, while CGS International Securities Singapore is the underwriter and placement agent for the offering.
Net proceeds of S$7 million from the IPO will support LCC’s growth plans, improve its visibility and allow the company to operate more independently, Lim said.
The company’s directors intend to recommend a minimum 30 per cent dividend payout from its 2025 and 2026 profits to shareholders.
Recent restructuring
LCC was spun off from mainboard-listed property developer Lum Chang Holdings (LCH) following an internal restructuring completed in June.
It specialises in urban revitalisation projects through conservation, restoration, interior fit-outs as well as addition and alteration (A&A) works. It also provides aftercare services for certain retail projects, and manufactures wood furniture as well as fixtures for retail customers.
Post-restructuring, LCH holds 80 per cent of LCC, while Lim owns the remaining shares.
Lim clarified that LCC will be operated independently, with the board of LCC making the final decisions.
He added that LCC has a distinct identity from LCH, which focuses on property development and civil infrastructure.
In contrast, LCC positions itself as a solutions provider, taking on smaller-scale, niche projects in urban revitalisation – a specialised segment with relatively few players.
Conservation work in demand
An independent report by market researcher Converging Knowledge estimates the market size of urban revitalisation specialists in Singapore in 2024 at between S$380 million and S$450 million, with LCC’s market share projected at 14.4 to 17 per cent.
This sector is expected to grow at a compound annual growth rate of 6.8 per cent, reaching S$470 million to S$550 million by 2027.
This growth is supported by increased conservation shophouse transactions, strong government backing for tourism and culture, and the potential for more buildings to be identified for adaptive reuse as Singapore’s limited land supply makes continual new construction unsustainable.
Lim noted that many of these conserved properties require ongoing restoration and A&A works to convert them into functional spaces such as offices, retail outlets, or hotels. This positions LCC to benefit from a steady pipeline of projects, unlike one-off new builds.
In recent years, LCC has undertaken multiple conservation projects, including restoration works at St James Power Station during the Covid-19 period and A&A works at the Red Cross House.
The company is also currently working on ongoing projects such as the National Museum building.
Beyond conservation buildings, LCC is exploring opportunities in the high-end residential segment, including Good Class Bungalows, and in the retail sector.
Lim described LCC as being on an “upward growth trajectory”, supported by a robust order book of S$122.8 million as at May 31, 2025 with project visibility through 2025 and 2026. While 2027 remains uncertain, he believes there is sufficient time to secure new projects.
Sustainable growth
When asked about how LCC plans to communicate its appeal to investors given the niche nature of its work, Lim said the company’s “profit figures are self-explanatory”.
Based on current figures, the IPO is priced at a relatively modest price-to-earnings ratio of around five to six times.
He emphasised that LCC is not aiming to maximise its IPO valuation at the expense of long-term investor confidence. Instead, the company is focused on sustainable growth.
According to its unaudited financials, LCC saw its net profit rise 61.6 per cent to S$5.3 million in the first six months of 2025, from S$3.3 million in the corresponding period last year.
Revenue for the same period grew S$5.6 million or 16 per cent to S$40.8 million.
Lim noted that LCC’s revenue has grown significantly over the past two years, from around S$14 million in the 2022 financial year to S$59 million in FY2024, reflecting growth of around four times. He attributed this to the company’s successful project execution and its diversified client base, which includes both public and private-sector projects.
Looking ahead, LCC is exploring potential mergers or acquisitions of businesses that complement its offerings, such as those involved in carpentry. The company also has plans to expand into Malaysia and Indonesia.
Manpower as a strategic asset
Lim noted that LCC operates an asset-light model with a lean core team of highly skilled artisans, who are considered a strategic asset due to their expertise in carrying out intricate and historically sensitive restoration work.
Citing the National Museum as an example, he explained that restoring ornate features such as floral motifs requires artisans to carefully remove paint layers and recreate the original designs.
Lim also attributed LCC’s low staff turnover rate to its strong talent retention and ability to preserve institutional know-how, which he believes are key factors in controlling costs and driving the business’ success.
He said: “My job is to make my staff feel a sense of belonging – that they are not just employees, but that they belong to the company and the company belongs to them. This is like a family business.”
