Singapore Medical Support Services Provider Medinex to raise US$5.48 Million in SGX Listing

Medinex

Medinex

3/12/2018 – Medinex Ltd, a provider of professional support services to medical clinics is looking to raise S$7.5 million (about US$5.48 million) through an initial public offering (IPO) on the Singapore’s Catalist Board (SGX).

The IPO comprises a placement tranche of 30 million shares, which include 26 million new shares and four million vendor shares that will be sold at a price of S$0.25 per share.

Medinex expects to reach a market capitalization of S$32.8 million (about US$23.9 million), a figure which is 25 times its pro forma net profit of S$1.3 million in 2017.

The company also made a pro forma net profit of S$1.3 million in the first half of 2018, on the revenue of S$4.9 million. This more than doubles the S$583,000 net profit it made in the first half of 2017.

If this listing is successful, Medinex will receive S$5.32 million in total net proceeds, after the deduction of listing-related expenses of S$1.18 million.

According to Medinex, S$1.3 million of the proceeds will be earmarked as working capital while $4 million will be used in expanding the company’s business operations. This includes the acquisition of human resources and consulting services company Ark Leadership that is owned by Valerie Low, a sibling of Jessie Low, the CEO of Medinex Ltd.

Human resources and staff retention is one of the main struggles faced by doctors, said Medinex’s Chief Operating Officer Bobby Lee.

“One of the biggest problems for doctors is that they don’t know how much it costs to set up a clinic. They could bid for the rental and maybe not sustain it. The business consulting is very important for them to understand what they are going into, how will the whole clinic pan out over the next one to two years.”

“Saturation is only in certain parts of Singapore, especially the mature estates. But at the same time, there are a lot of growth areas, for example Bukit Batok, Woodleigh, Buangkok, even Tengah, Sengkang. These are some of the areas where we can help the GPs set up their clinics at the right rental,” said Lee.

Founded in 2008, Medinex offers medical support services such as helping clients oversee the setting up of clinics and facilitates applications for relevant clinic licenses.

Since 2012, Medinex has branched out to provide business support services to corporate clients, focusing on small and medium enterprises.

It also offers turnkey solutions including accounting and tax agent services, human resource management services and corporate secretarial services to more than 120 general practitioners and specialists.

In 2017 and 2018, the company acquired a pharmaceutical services company Nex and also teamed up with two major pharmaceutical companies, Zuelig Pharma Pte. Ltd, and DKSH Singapore Pte Ltd for sourcing and distribution of pharma supplies.

Golden Gate Ventures Opens KL Office, Commits US$18 million for Malaysian Startups

Golden Gate Ventures

Golden Gate Ventures

30/11/2018 – Singapore-headquartered early-stage venture capital firm Golden Gate Ventures (GGV) has announced it will allocate RM75 million (about US$18 million) of its third fund for Malaysian startups and open an office in the country.

Its Malaysian office is located in Kuala Lumpur and will be the venture capital firm’s third and largest location in Southeast Asia, after Singapore and Indonesia.

According to Vinnie Lauria, this move will solidify its on-the-ground-presence in Malaysia, where the venture capital firm already has several tech companies in its portfolio, including GoQuo, ServisHero, Codapay, and Funding Societies.

Besides, GGV also have investments in startups that have expanded to Malaysia, such as Singapore p2p marketplace Carousell and is helping its portfolio startup on-demand startup Homage to expand to the country.

“The dollars we’ve invested in Malaysia are already significant, which makes the country the natural location for our regional expansion,” said Lauria.

It has previously invested about a quarter of its US$60 million Fund II – closed in 2016 into Malaysian startups. After opening its office in Kuala Lumpur, the vc firm will be spending more time and capital in the Malaysian market.

Golden Gate Ventures hit the final close of its third fund at US$100 million in mid-September. The fund was oversubscribed and anchored by existing LPs, including Temasek Holdings, South Korea’s Hanwha, Naver Corp and EE Capital.

New LPs included Japanese entrepreneur Taizo Son’s Mistletoe and Korea Venture Investment Corp.

Founded in 2011, Golden Gate Ventures has built a portfolio comprising about 40 companies in over seven Asian countries in the consumer internet space. In Malaysia, it has backed e-commerce startup GoQuo and on-demand home services platform ServisHero.

Some of the firm’s exits so far include Singapore’s grocery startup Redmart, Taiwan’s Woomoo, Indonesia-based fintech startup Mapan (formerly known as Ruma), carpooling startup TemanJalan and Thailand’s dating app Noonswoon.