Clearbridge Health (SGX:1H3) is looking to raise up to SG$3.4 million through the placement of new ordinary shares and free warrants, according to a filing with the Singapore Exchange on Monday.

Shares of the company surged over 50% in Tuesday trading.

Clearbridge Health signed an agreement with UOB Kay Hian as placement agent to procure subscriptions for up to 990,000,000 shares at SG$0.002 apiece and up to SG$660,000,000 free detachable, transferable and non-listed warrants at SG$0.0024 apiece.

The warrants will be offered on the basis of two warrants for every three placement shares, with each warrant carrying the right to subscribe for one new ordinary share in the capital of the company.

The net proceeds from the placement will be used for general working capital, the filing said.