AESTHETIC medical services provider Niks Professional on Friday (Oct 27) closed its debut on the Catalist board at S$0.20, 13 per cent or S$0.03 below its initial public offering price (IPO) of S$0.23 per share.

Niks Professional, which commenced trading under the code NPL on the Catalist board, opened at S$0.205 or 10.9 per cent below its IPO price.

Some 2.8 million shares changed hands on Friday, with the counter recording a high of S$0.21 at 4.22 pm.

Its trading debut comes a day after the company announced that its IPO was 5.9 times subscribed, with 21.8 million new shares offered, representing 16.8 per cent of the company’s enlarged share capital.

Of the 21.8 million, a million shares were available by public offer. The remaining 20.8 million stocks were placement shares which were approximately 1.6 times subscribed, with the company receiving indications of interest for about 32.9 million placement shares.

The proceeds raised from the IPO will go into funding organic growth, acquisitions, joint ventures and/or strategic alliances, as well as for general working capital.

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Niks Professional was founded in 1998 by husband-and-wife team, Cheng Shoong Tat and Dr Ong Fung Chin. The company has three clinics and another three retail outlets in Singapore, as well as a business-to-business operation in China.

For FY2022, the company recorded S$2.8 million in net profit, down from S$3.3 million the previous year; revenue was 5.2 per cent lower on the year at S$11.1 million.

It does not have a dividend policy, but intends to recommend dividends of no less than 50 per cent of the net profit after tax for FY2023, and 40 per cent in FY2024.