C&O Pharm

C&O Pharm: CIMB yesterday started at Buy with $0.60 target, based on 12X FY11 P/E. Says China-based drug maker's strong R&D capability provides springboard to launch new products, paving way for expansion in local, even international markets; cites C&O as an attractive partner to foreign drug companies looking to enter the China market. Says prospects backed by China's increasing healthcare spending. Forecasts FY10 div of S$0.073/sh, translating to prospective 17% yield.