DC Healthcare Berhad will be listed on the ACE Market of Bursa Malaysia Securities Bhd on 17 Jul 2023. It is principally involved in providing aesthetic and general medical services. DC Healthcare trades at an historical financial year 2022 price-earnings ratio of 26x, at its initial public offering price of RM0.25.
“DC Healthcare, through its wholly-owned subsidiaries, is involved in aesthetic and general medical services. It operates 13 aesthetic medical clinics located in the Central Region and Southern Region,” said Maybank Investment Bank (Maybank IB) in a recent report.
The company is issuing 199.2 million new shares at an issue price of RM0.25 per share, raising RM49.8 million from the initial public offering. There will also be an offer for sale of 99.6 million shares at RM0.25 per share.
The company appeals to consumers who are looking to enhance their appearance. Its net profit grew at a 3-year earnings per share compounded annual growth rate of 182% over financial year 2019-2022, mainly attributable to an increase in the number of clinics and margin expansion.
Moving forward, the group intends to expand its clinic network by establishing 8 new clinics in the Southern Region (Negeri Sembilan, Johor) and Northern Region (Perak, Kedah, Pulau Pinang). Similarly, the group intends to expand its team of certified physicians.
DC Healthcare is trading at an historical financial year 2022 price-earnings ratio of 26x, at its initial public offering price of RM0.25. In comparison, the Bursa Malaysia Healthcare Index trades at prospective 2023 and 2024 price-earnings ratios of 29.1x and 26.8x, respectively.
