Singapore Paincare Holdings offers IPO shares at $0.22 apiece

Estimated net proceeds will be approximately $3.54m.

Pain care management services provider Singapore Paincare Holdings (SPCH) will offer 24,246,000 placement shares at $0.22 apiece as it registers its IPO prospectus on Singapore Exchange (SGX), according to an announcement.

The estimated net proceeds to be raised from the placement, after deducting the aggregate estimated cash expenses, will be approximately $3.54m.

SPCH notes that 33.6% or $1.79m of the gross proceeds will be used for listing expenses, whilst 26.3% or $1.4m of the IPO funds will be set aside for local and regional expansion. Of the remaining funds, 20.62% or $1.1m will be used to expand the range of pain care services whilst 19.5% or $1.04m will go into its working capital.

SPCH provides specialised treatment of pain conditions occurring anywhere in the body. The company said it aims to bridge the gap between open surgery that may result in higher risks, and longer recovery periods, and conservative physical therapies which may not be as immediately effective in relieving pain.

The company’s directors believe that the listing will enhance SPCH’s public image internationally and enable it to raise funds from the capital markets to fund the expansion of its business operations as well as its acquisition plans and general working capital purposes.

As at the date of the announcement, issued and paid-up share capital of SPCH was $6,731,898, comprising 137,377,416 shares.

The company notes that it only has one class of shares, and the shares offered will have the same rights asother existing issued and paid-up shares, including voting rights. Prior to the placement and listing, there has been no public market for SPCH’s shares.

Novus Corporate Finance will act as the sponsor and issue manager, whilst UOB Kay Hian will be the placement agent.