S’porean telco software firm Circles eyes potential IPO listings on NASDAQ & SGX

Singaporean telecommunications software company Circles is considering listing on NASDAQ in New York, while its virtual telecom brand Circles.Life plans to launch an initial public offering (IPO) on the Singapore Exchange (SGX).

Circles’ CEO and co-founder, Rameez Ansar, stated in an interview with The Straits Times on Tuesday (May 27) that the timing of the IPOs will be influenced by market conditions and regulatory approval in both Singapore and the United States.

While he did not specify a timeline for the IPOs, Ansar shared that the company is working towards a two-year goal to attain “world-class” business metrics—an essential step to delivering standout share performance.

Through the double listings, he noted that Circles and the company’s virtual telco business could concentrate on their individual growth paths, while still benefiting from their shared foundation.

Circles is currently backed by major investors, including private equity firm Warburg Pincus and EDBI, the investment arm of Singapore’s Economic Development Board.

In 2024, the company underwent an organisational restructuring to pave the way for the listings, separating its operations into three distinct units: Circles, Circles.Life; and its travel eSIM business, Jetpac.

According to Ansar, the group has not only reached break-even as a whole, but each individual business unit has also achieved profitability.

As an alternative to the dual listings, Ansar did not rule out the possibility that the company may consider another round of private equity funding or potentially divest from Circles.Life to fuel the software unit’s expansion plans.

About a year ago, the company’s software arm overtook Circles.Life in size. Today, it generates over US$100 million (S$129 million) in annual revenue and is growing at a rate exceeding 30% per year, while maintaining gross margins of more than 70%.

However, divestment is currently not being considered, despite a Bloomberg report in November 2024 suggesting that Circles was considering a sale.

I would say that the IPO is a primary strategy right now, but it is also something that gives the business focus.

Featured Image Credit: Circles.Life