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06/12/2017

Markets in Asia sold off today in line with declines in the US and Europe. There are few data points to focus on and there is certainly little sign of a Santa rally. “Another low liquidity day, as various idiosyncratic storylines play out,” said Stephen Innes, head of trading APAC at online multi-asset trader OANDA in Singapore. Commodity weakness saw the ASX trade down around 0.50%, dragged lower by the big miners. The Reserve Bank of Australia yesterday left interest rates at a record low. "The low level of interest rates is continuing to support the Australian economy," said governor Philip Lowe, as Q3 GDP figures came in lower than expected. The Nikkei was unimpressed by a strengthening yen and in early afternoon trading was off by more than 1.70%. And a decline in tech stocks put pressure on the Shanghai Composite and the Hang Seng which were lower by 0.60% and 1.25% respectively. The CME Fedwatch tool has the probability of a rate hike at next week’s Federal Reserve meeting at more than 90%, so attention will be on rates for next year.
 
Parkway Life REIT, which is owned by IHH Healthcare, has sold ¥5 billion (US$44.3 million) 0.57% six year senior unsecured notes under its S$500 million (US$371 million) multicurrency debt programme. Barclays and DBS are joint lead managers. The debt priced 1bp tighter than the group’s maiden ¥3.3 billion six-year deal in March this year.
 
Beijing-based Universal Medical Financial & Technical Advisory Services (UMS), the largest integrated healthcare solutions provider in China, has doubled the size of its first loan. The three-year loan is now US$600 million according to Reuters IFR. China Construction Bank, CTBC Bank and Shanghai Pudong Development Bank are the mandated lead arrangers and bookrunners of the loan which is split into US$316.5 million and HK$2.2 billion (US$283.5 million) tranches.
 
GenomiCare Biotechnology has completed US$25 million Series A financing co-launched by Morningside Venture Capital, Apricot Tree Capital and Carebridge Holdings, for which China Renaissance Group provides exclusive financial consulting service.
 
Australia’s TBG Diagnostics, a global molecular diagnostic company operating in the IVD industry, has formed a 60/40 joint venture with Haitou Group subsidiary, Xiamen Haicang Biotechnology Development. The purpose of the joint venture is to build and operate a medical laboratory at TBG’s facility located within the Xiamen Biobay, a 10 square kilometer biomedicine industrial park home to more than 100 biomedical enterprises in Xiamen’s Haicang district.
 
Medical glove manufacturer Kossan Rubber Industries is to acquire a 27% stake in Hong Kong-based Cleanera, a trader of clean room products for US$1.6 million, from Midori Anzen. Upon completion, Kossan will hold 82% of the company.
 
Guangdong Kanghua Healthcare, the operator of the largest private hospital in China, is planning to take stakes of at least 51% in two companies: Anhui Hualin Healthcare Investment and Hefei Xingu Rehabilitation Investment. They currently manage and operate a number of private non-profit organisations in Anhui Province, China, including one specialist hospital, one Class I general hospital, nine rehabilitation centres and one vocational training school.
 
Q&M Dental Group, which operates the largest network of private dental outlets in Singapore, is to sell its entire stake in Q&M Medical Aesthetic & Laser Centre to Li Jingxiang for S$242,000. No further details of the sale have been released.
 
Australian-owned Aspen Medical has signed an agreement to help the Zhejiang Medical and Health Group (ZMH) to expand the expansion of medical facilities and services in the eastern province of Zhejiang.
 
CR Phoenix Healthcare, China’s largest private hospital group, has joined forces with China Resources University, jointly to establish the Phoenix Hospital Management Institute.
 
German healthcare giant Fresenius has opened its first independent dialysis centre in Quanzhou, China.
 
In New Zealand, Chai Chuah, the country’s director-general of health, has stepped down. “I have been considering for some time that the health system needs a new director-general in place to take it forward,” Chuah said. His last day will be 2 February. The state services commissioner will now begin the process of appointing a new director-general of health. And Hong Kong-listed diagnostic company Mingyuan Medicare has appointed Danny Lam as chief executive officer and Peter Wong as a non-executive director.

Posted on: 06/12/2017 UTC+08:00


News

Brisbane-based Oventus has raised A$7.6 million (US$5.8 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.
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.
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).
Singapore-based medtech company Advent Access has raised S$2.6 million (US$1.9 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.
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%.
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.
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.
Vital Healthcare Property Trust, the only NZSX-listed healthcare property fund, has acquired Eden Rehabilitation Hospital in Cooroy, Queensland for A$23.8 million (US$17.9 million).



Analysis

The world’s first healthcare development impact bond aimed at reducing the number of maternal and newborn deaths in Rajasthan, India, launched last week.
The rise of 3D printing technology in medicine and healthcare is challenging existing regulatory frameworks as higher risk 3D printed medical devices are developed. Tracy Lu, senior associate for Allens in Sydney, explains that Australia is at the forefront of dealing with this regulatory reassessment.
In the third part of his series about operating healthcare companies across the APAC region, Marcus Pitt, managing partner of Fortuna Corpus Asia, focuses on the opportunities in the Philippines.
The promise of a bottom in Singapore’s office market has caused its ranking as an investment market to soar from next-to-bottom last year to third in this year’s “Emerging Trends in Real Estate Asia Pacific 2018” report, a real estate forecast jointly published by the Urban Land Institute (ULI) and PwC.
Kamal Brar, vice president and general manager of Asia Pacific for data software company Hortonworks, looks at how data analytics can provide effective and affordable healthcare in Singapore.
The latest Sun Life Financial Asia Diabetes Awareness Study reveals an alarming knowledge gap in diabetes. A third of Asian women who are or were pregnant in the past three years are unaware of the risk of developing gestational diabetes in pregnancy, while one in seven births in Asia is currently affected by gestational diabetes.
Gan Kim Yong, Singapore’s minister for health, explains why the private sector needs to get behind the National Electronic Health Record System.
Business leaders in Asia Pacific’s healthcare industry are showing urgency in embracing the fourth industrial revolution, according to the Microsoft Asia Digital Transformation Survey. More than three-quarters of them believe that they need to transform to a digital business to enable future growth and yet only a quarter said that they have a full digital strategy in place today.


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