Raffles Medical

Raffles Medical: OCBC maintains Buy with TP $3.61. Note that Raffles Medical Group (RMG) has come a long way in contributing to the healthcare scene of Singapore since it was co-founded by its current Executive Chairman Dr. Loo Choon Yong. The group has established a solid track record, delivering a 13.1% and 17.8% CAGR in its revenue and core PATMI from 2007 to 2012, respectively. In a bid to continue its growth trend, RMG has earmarked plans to expand both locally and overseas in China. This would be funded by internal resources (currently in a healthy net cash position) and debt. We like RMG for its capable management team, robust growth prospects and strong brand equity.