des khor, that's the way how businesses are run .Arithmetical calculation u are

correct.Investors subscribe for the IPO, they are buying HOPE. Hoping the price

will go above IPO  price when listed

Hardly see anyone walking to the bank and laughing.  hahaha!  

Thanks for the clarification that Capitamall Asia does not operate as a REIT, but it is the retail mall business unit of Capitaland. Capitaland owns around 70% of Capitamall Asia. Capitamall Asia in turns owns around 30 to 40% of Capitamall Trust and CapitaRetail China Trust. It's main aim is for growth by acquiring Asian retail properties and maybe dumping the properties to it's REITs (Capitamall Trust and CapitaRetail China Trust). It is quite a large unit since it has around 86 retail properties in China, India, Singapore and some other Asian countries, so it offers a compelling growth story. Just be wary not to overpay for any business. Growth and value is closely knitted together. Overpay for a business even if it has a compelling growth story and one will still suffer from diminished returns from the investment. Underpay for a mediocre business with lousy growth and the investment is not a value buy anymore since there is no value in seeing growth. Growth in returns and value are dependent on each other and not mutually exclusive. I think the listing price should not be an undervalued price since it is offered at 1.55 times above it's book value. Neither is it grossly overvalued. It is still up to each investor's investment objective and judgment on whether this is a potential good investment candidate at current offered IPO price. It is definitely a large business to look at considering the sheer number of retail properties under it spaning across various Asian regions.