July 09, 2012 17:13 PM
KUALA LUMPUR, July 9 (Bernama) — JF Apex Securities Bhd expects IHH Healthcare Bhd’s topline growth momentum to be sustainable, driven by the group’s aggressive expansion plan.
In a research note Monday, JF Apex Securities said the group, which aims to establish 17 hospitals and 3,300 new beds over the next five years, is well poised to sustain its growing momentum and penetrate the fast growing market of the Central and Eastern Europe, Middle East and North Africa.
The research house also expects IHH Healthcare’s profit margin to be lifted by the economies of scale pursuant to its aggressive expansion, as well as higher profitability from higher-end market.
The group has secured 22 cornerstone investors, with Lembaga Tabung Haji and AIA Group Ltd among the established names.
“We expect the involvement of these established cornerstone investors would boost the public confidence on the group’s initial public offering,” the research house said.
— BERNAMA
