Ahead of tonight's expected interest rate hike from the US Federal Reserve, markets in Asia marked time today. “Given it is her final press conference one questions how much the market will react to Janet Yellen’s views, although she does speak on behalf of the collective,” mused Chris Weston, market analyst for g+ in Melbourne, this morning. “Either way, it promises to be a big night for markets even if implied volatility is still quite subdued and options markets are not pricing in fireworks.” Trading desks remained cautious when news broke at lunchtime that the Republicans had lost a seat in the Senate after a bitter campaign in Alabama. This is likely to make it much harder for US president Donald Trump to push through his populist policy agenda. Most regional bourses were little changed. The exception was the Nikkei – down more than 0.50% as the dollar dropped 0.30% against the yen.
After postponing its up to US$150 million IPO in March 2015, Malaysian-based primary healthcare provider Qualitas Medical Group is gearing up to launch another IPO attempt on the SGX in the first quarter of next year. The size remains the same. CIMB, Credit Suisse and DBS are on the deal.
Clearbridge Health, the precision medicine operation headed by former Cordlife CEO Jeremy Yee, plans to raise S$24.6 million (US$18.2 million) in its IPO on the Catalist, SGX’s junior board. It is selling 88 million shares, or 18.3% of its enlarged share capital, at S$0.28 per share. The majority of proceeds will finance the expansion of medical clinics and centres with S$3 million used to expand laboratory testing services. It said that it has already signed a term sheet to acquire a medical centre in the Philippines. UOB is managing the deal. Trading starts on 18 December.
Shares in Thonburi Healthcare Group, the country’s third largest hospital operator, dipped modestly in their debut on the SET last week. The group raised Bt3.2 billion (US$98.2 million) selling 85 million shares at Bt38.00 per share – 10.01% of the company. Although they have declined every day since then, they were last seen up 5.1% at Bt31.00.
Shares in Rhythm Biosciences, which is developing a screening test intended for the accurate and early detection of colorectal cancer, jumped 62.5% on their ASX debut last week. The company raised A$9 million (US$6.9 million) selling 45 million shares at A$0.20 per share. They have pulled back since then, but today were up almost 2% at A$0.27.
Brisbane-based Oventus has raised A$7.6 million selling 13.8 million shares at A$0.55 per share. The deal was heavily oversubscribed with strong support from new and existing institutional and sophisticated investors. Bell Potter managed the deal.
Singapore-headquartered digital healthtech company Biofourmis has raised US$5 million in Series A funding from NSI Ventures and Aviva Ventures, the corporate venture arm of insurer Aviva. Biofourmis has also entered into a collaboration with Mayo Clinic, which will enable the company to access de-identified, anonymised healthcare data from clinical trials and Mayo’s expert medical insights.
Singapore-based medtech company Advent Access has raised S$2.6 million pre-Series A financing led by Accuron MedTech, the largest medical device company in southeast Asia. It is the largest pre-Series A financing round by a medtech startup across the region.
Integral Diagnostics (IDX), Australia’s fourth largest radiology group, has appointed Credit Suisse and Herbert Smith Freehills as financial and legal advisers to assist the board in assessing and responding to the A$356.8 million takeover proposal from medical diagnostic imaging services provider Capitol Health. A bidder statement from Capitol is expected before 29 January.
Vital Healthcare Property Trust, the only NZSX-listed healthcare property fund, has acquired Eden Rehabilitation Hospital in Cooroy, Queensland for A$23.8 million.
Ryman Healthcare, New Zealand’s largest listed retirement village operator, has bought Victoria University of Wellington’s former Karori campus which will be converted into a retirement village with independent and serviced apartments and a care centre. Although financial terms have not been disclosed, it is estimated to have been sold for NZ$20 million (US$13.8 million).
Hang Seng-listed Golden Meditech has taken a 50% stake in Japanese real estate management company ASA for ¥425 million (US$3.7 million). Magnum Opus, which is owned by Kam Yuen, Golden Meditech’s chairman and controlling shareholder, holds the remaining 50%.
To pare down debt, a subsidiary of KPJ Healthcare, the healthcare arm of the Johor Corporation, plans to sell a 5-storey carpark block together with a half basement level and an open roof level of KPJ Selangor Specialist Hospital to its own Al-Aqar Healthcare REIT for M$13 million (US$3.2 million). “We understand from the management that there will be gradual asset injection into Al-Aqar REIT from 2018 onwards starting with its brownfield expansions,” said analyst Noor Athila at MIDF Research.
Manila-based Philab Holdings, which designs, builds and equips medical laboratories, plans to acquire 67% of local pharmaceutical firm Sydenham Laboratories. The proposed acquisition is still subject to the results of due diligence and regulatory approvals from the Securities and Exchange Commission and the Philippine Stock Exchange. Financial terms have not been disclosed.
Singapore-based managed healthcare provider Fullerton Health has acquired a 60% stake in the Intellicare Group, one of the leading managed care providers in the Philippines. Financial terms have not been disclosed.
In legal news, in the latest move of their long-running patent dispute, New Zealand-based medical device manufacturer Fisher & Paykel Healthcare has filed a patent infringement proceeding in the Federal Court of Australia against ResMed, the Australian manufacturer of products for the treatment of sleep disorders, and several of its related companies.
In people news, He JuBin has stepped down as CEO of Singapore-listed healthcare company China Medical International (CMIG). “He will be seeking new opportunities for his own personal development plans,” the group said in a statement. His last day was Monday. And there have been a number of changes at Hang Seng-listed China Health Group. Zhang Fan has been appointed chairman; Chung Ho has been appointed CEO; and Wang Jingming has been appointed hospital chief executive of the group.
