Singapore Exchange (SGX) Catalist Board-listed healthcare company Clearbridge Health Limited is raising S$11.34 million ($8.28 million) from a share placement exercise, according to an announcement.
The fund raise – that will be through an equity placement of 80.45 million ordinary shares priced at S$0.141 ($0.100) per share – will accelerate the company’s growth plans in Asian healthcare market and strengthen its balance sheet.
According to a statement issued by the company, proceeds will be used for acquisitions, organic business growth and working capital purposes.
“The funds raised in the share placement will allow us to significantly enhance our financial capabilities to grow our healthcare assets and presence across Asia, where healthcare demand is increasing and driven by population growth rates, and increasing terminal and chronic disease patterns matching western markets,” said Jeremy Yee, executive director and chief executive officer at Clearbridge Health Limited.
The key subscribers of the equity placement include Macondray Company Limited and Coop International Pte Ltd. Other subscribers include a mix of private investors, and an individual by the name of Wong Yat Foo, who is a founder-chairman of a Singapore-based private equity firm ESW Manage Pte Ltd.
Wong is subscribing 1.77 million ordinary shares of Clearbridge Health Limited worth S$250,000 ($182,641.25), representing 2.62 per cent of the healthcare firm’s issued share capital on July 29.
The stock price of Clearbridge Health Limited was last quoted at S$0.152 per share, down 0.4 Singapore cents at 10:10 am SGT on July 29, 2019.
Within a span of 18 months since the company launched its IPO, it has built three distinctive strategic business across Asia.
First, the company offers healthcare services through its regional network of medical centres and clinics; and second, it offers medical healthcare systems through the provision of healthcare-related services. Besides, Clearbridge also makes strategic equity investments in medical technology companies.
Clearbridge’s portfolio companies include Biolidics Limited wherein it’s the largest shareholder, and Singapore Institute of Advance Medicine Holdings, among others.