CORDLIFE GROUP

Market is pricing in potential growth of Cordlife.

Still has gd potential... Lets see.

1.035 going strong...

CORLIFE – 2 CORE BUSINESS

1) Core Blood Banking
2) Umbilical Cord Tissue Banking

• Stable Recurring Cash Flow
• Growing Subscriber Base
• Stable Base And Recurring Cash Flow – Approximately $6.25 million per year.

Market Leadership
Among the top 3 private cord bloods in 5 key markets (Singapore, Hong Kong, India, Indonesia and the Philippines)

• Proven Track Record
• Importance of Cord Blood Storage – NEARLY 80 DISEASES ARE TREATED WITH STEM CELLS TODAY. (Various kinds of cancer blood disorders & other congenitial diseases)

Cordlife Singapore’S New Facility
1. Increase Capacity Of Up To 650,000 Cord Blood Units. (Enable economies of scale)
2. Long Term Lock-In Of Fixed Costs. (Stave off pressure on margins)
3. Plan to Rent Out Excess Capacity. (Generate potential income)

Industry Outlook (Key Demand Driver)
• Birth Rates
• Rising Affluence
• Increase Awareness & Acceptance
• Favourable Government Policies
• Rising Penetration Rates In Developing Markets
•
Recent Developments In The News In Singapore
On January 21, 2013, the government unveiled policies to boost fertility and birth rates
The $2 billion Marriage & Parenthood Package 2013 is up from the $1.6 billion package in 2008
Aims to increase Total Fertility Rate (“TFR”) to 1.4 or 1.5 over the next few years from 1.2 in 2011
One of the key initiatives is support for medical costs related to conception and delivery
An increase of $2,000 per birth in the Baby Bonus cash gift up to the fourth child
A Medisave account of $3,000 for every Singaporean baby
An extension of six years for the CDA (until the child turns 12)
An increase in the co-funding of the Assisted Reproduction Technology treatments from the current 50 per
cent to 75 per cent.
Other incentives
Enhanced maternity protection for pregnant employees
Introduction of one-week paternity leave
Parenthood Priority Scheme – sets aside 30% to 50% of new flats for first-timer couples who have young children or are expecting one.

Market is pricing in potential growth of Cordlife. It is still trading at lower PE than the more establish Health-care stocks.
So far 4000 lots done at $1.10 & above.

Director Jin Lu sold 700,000 shares at S$1.0128.

info.sgx.com/webcoranncatth.nsf/VwAttach...2013.pdf?openelement

I think the valuation is too rich now.