SINGAPORE: Malaysia-based Daruma Capital Sdn Bhd, which operates the Japanese-inspired café chain Chizu, along with Yaki Soul and Daruma Pastry Supply, plans to list on the Singapore Exchange (SGX) as part of its regional growth strategy.
Founder and managing director Ong Leong Fuei said the proposed initial public offering (IPO) aims to expand the company’s presence in capital markets and attract Southeast Asian investors and international capital.
“The timing is particularly favourable,” Ong noted. “Consumer spending across the region remains strong, and international investors are increasingly interested in high-quality regional food and beverage brands that can grow.”
Daruma has selected MCI Capital Sdn Bhd as its financial adviser for the IPO. Their role includes developing a capital markets strategy, making sure they are ready for listing, and improving the capital structure. This comes amid a trading surge on the Singapore bourse.
Details about the IPO, like its size and timeline, were not provided.
The decision to list on SGX comes as interest in Singapore as a hub for raising capital is increasing. This is despite the overall listing environment being quiet.
Currently, Daruma operates seven outlets in the Klang Valley under its “Meet Me at Chizu” concept. The brand is noted for its unique blends of artisanal beverages topped with milky cheese foam, served alongside buttery croissants. The group also runs Yaki Soul and a centralised pastry supply operation, using a model that supports efficiency and scalability.
“The integrated kitchen model across multiple F&B concepts positions Daruma Capital well for growth,” said Datuk Cannis Chan, chairman of MCI Capital. “We know what international investors are looking for in Southeast Asia’s consumer market, and Daruma meets those criteria — from strong leadership and financials to a solid regional expansion strategy.”
The announcement comes as the city-state prepares to celebrate its 60th independence anniversary and global institutions predict renewed activity in its capital markets. A report released on June 24 by Morgan Stanley described Singapore as “primed for wealth creation”.
The US bank projects that Singapore will experience a five-year GDP compound annual growth rate (CAGR) of 3%, the highest among developed economies. Morgan Stanley anticipates that household net assets in Singapore will nearly double to US$4 trillion by 2030, with stock market capitalisation also expected to double.
Singapore’s strengths in finance, trade, energy, transport, and increasingly, data infrastructure and AI are viewed as essential for this growth trajectory. In a statement, Morgan Stanley commented: “Singapore must focus on broad-scale wealth creation to ensure a happy and healthy ageing population. Achieving this could bring real benefits for investors.”
The report identifies three key drivers for Singapore’s growth. The first driver is hub industries like energy, financial services, transport, and data infrastructure. Morgan Stanley estimates these constitute 63% of Singapore’s GDP.
The city-state reportedly handles about a fifth of global energy and metals trade, in addition to hosting over 400 international trading firms. It remains a leading Asian hub for foreign exchange trading, insurance, and asset management.
The second growth driver is its early tech adopter status. Home to more than 1,000 AI startups and a growing pool of R&D and academic talent, Singapore ranks among the top 10 global AI markets.
At this juncture, Singapore regulations are gearing up to trial different deployments of autonomous vehicles and robotics applications. This is coupled with efforts to improve power infrastructure to support energy-intensive technologies like AI and data centres.
Finally, the third driver is ongoing equity market reforms by its central bank. Considered a conservative market, the SGX is undergoing reforms to attract share sales in new economy sectors. Singapore is investing billions in sovereign and institutional funds to rejuvenate its domestic market and is exploring initiatives similar to Japan’s “value-up” programme.
“These reforms could spark renewed interest in Singapore equities and lead to a multiyear re-evaluation,” Morgan Stanley added.
For Daruma Capital, this evolving capital landscape in the city-state offers an excellent opportunity for growth across borders. Daruma Capital aims to leverage growing investor interest in scalable consumer brands rooted in Southeast Asia to drive regional expansion.
As Ong states, “Listing on SGX allows us to expand more aggressively while remaining focused on operations. We believe Singapore provides the right platform to connect with investors who share our long-term vision.”