Hot stock: Medtecs surges 18% to 2-month high, gets queried

SHARES of Catalist-listed Medtecs International surged 18 per cent to S$0.144 as at 11.09 am on Tuesday (Oct 18), the highest the counter has traded in nearly two months, while 4.1 million shares changed hands in the morning.

No married deals were recorded, according to ShareInvestor data.

Shortly after, the medical consumables distributor received a query from the Singapore Exchange (SGX) asking if it was aware of any information or explanation over its “unusual price movements”.

SGX also sought a confirmation from Medtecs on whether it has complied with listing rules and in particular, Catalist Rule 703, in which the issuer is obliged to announce any information it knows which may materially affect the price or value of its securities.

The company’s last announcement posted on the Singapore bourse was on the opening of its glove manufacturing facility in Cambodia on Sep 30. The glove factory, whose first stage investment cost the company US$20 million, has a production capacity of 50 million gloves per month.

In August, Medtecs reported a loss of US$3.7 million in H1 2022 from a profit of US$19 million a year prior, on lower average selling price of personal protective equipment and face masks.