You are here
Hot stock: UG Healthcare debuts higher in early morning trade
UG Healthcare gained slightly in early morning trade on Monday as it made its market debut.
Some 18.3 million shares, worth S$4.97 million, changed hands.
The counter opened at 25 Singapore cents, 16 per cent above its initial public offering price of 21.5 cents, and rose to as high as 30 cents.
It traded at 26 cents at 10.10am.
The Malaysia-based firm makes and distributes natural latex and nitrile examination gloves, and offered 28.8 million shares to raise about S$4.2 million in net proceeds. Of these, 1.8 million shares were set aside for public subscription.
It intends to use the funds raised to expand production capacity and its sales and distribution network, undertake research and development, and as general working capital.
UG Healthcare's revenues had risen 4.3 per cent to S$49 million for the year ended June 30, 2014, while net profits jumped 28 per cent to S$4.9 million.
The controlling shareholder, Zen UG, will own about 49.17 per cent of the company after the IPO.
SAC Capital Pte Ltd is the sponsor, issue manager, underwriter and placement agent for UG Healthcare's IPO. This is also SAC Capital's first Catalist listing.