Qualitas Medical delays S$100m IPO on SGX; follows Summit Power's shelved US$260m offer

The Singapore Exchange logo above a counter in its building along Shenton Way.
The Singapore Exchange logo above a counter in its building along Shenton Way.PHOTO: ST FILE

SINGAPORE - Qualitas Medical is delaying its initial public offering (IPO) on the Singapore Exchange's mainboard because of pricing and market volatility, the regional clinic operator said.

"While our book was well supported, including commitments from anchor investors, we believe pricing was not optimal given, amongst other things, recent market volatility," said Qualitas, which had been expected to launch a deal between S$100 million to S$133 million.

The group added that it will continue to execute its business plan and expand through "robust organic growth" and mergers and acquisitions to expand its network and services.

Qualitas, which is backed by Singapore-based private equity firm Southern Capital Group, lodged its preliminary prospectus with the Monetary Authority of Singapore in March.

However, as at April 24, it had not yet priced the IPO although books closed on April 10.

CIMB and Credit Suisse were joint global coordinators on the IPO and bookrunners with CGS-CIMB, Daiwa and DBS.

Qualitas previously spent three years on the SGX's Catalist board before it was taken private in 2011 in a US$36 million deal.

Qualitas is not the only one that has delayed its IPO on SGX.

This week, Summit Power International announced that it has also deferred its US$260 million IPO on SGX, in what would have been the first overseas IPO from a Bangladeshi company.

"In light of recent market volatility, the company has decided not to proceed on the current IPO timeline. Summit Power International remains committed to the growth of its business, in support of the development of the Bangladesh power sector," Summit Power said in a message to investors.