The initial public offering of Medinex on SGX’s Catalist board was positive on Friday, with the share price ending at S$0.28, up from the offering price of S$0.25.
The Singapore-based support services provider to medical clinics placed 26 million new shares and 4 million vendor shares in a fully subscribed offering, it said in a statement on Friday.
The shares traded as high as S$0.29 intraday, with around 8 million shares changing hands on Friday, it said.
Jessie Low, executive director and CEO of Medinex, said the company was pleased with the debut.
“This IPO provides us with a platform to further expand our business operations, as we continue to work towards strengthening our position as an integrated medical support services provider,” she said.
Around S$4.0 million of the net proceeds of around S$5.32 million from the new shares will be used to expand business operations, including for expanding the marketing and business-development team, and for the potential acquisition of Ark Leadership & Learning, the filing said. Around S$1.32 million will be used for working capital, it said.
The market capitalization of Medinex is around S$36.7 million, based on the closing price of S$0.28, it said.
In a separate statement, Mohamed Nasser Ismail, head of equity capital market (SME) and head of capital market development at SGX, pointed to the outlook for the healthcare sector.
“Changing demographics and rising affluence will be key factors driving the demand for healthcare services in Singapore. As the company enters this new phase of growth, we look forward to supporting them in their expansion plans ahead,” he said.