ALBEDO RAISES $3 MILLION FOR CHINA EXPANSION

Transcription

1 MEDIA RELEASE ALBEDO RAISES $3 MILLION FOR CHINA EXPANSION Shares placed to Mr Frankie Kiow, founder and CEO of leading China franchisor Wealth Union Albedo to manage Qingdao kidney hospital and aesthetic clinic Wealth Union to market Albedo s medical aesthetic services Singapore, 8 January 2016 Albedo Limited ( 耀贝多 ) said today it has raised $3 million through a share placement to fund its expansion in China where it will be managing a kidney hospital and a medical aesthetic clinic in Qingdao, a city in eastern Shandong province. The shares were placed to Mr Frankie Kiow( 邱锦云 ), founder and Chief Executive Officer of Wealth Union( 联盛 ), a leading Shanghai-based franchisor which has inked an agreement with Albedo to market the latter s medical aesthetic services. The moves come barely three months after Albedo shareholders approved plans to transform the Catalist-listed company from a primarily metal trading and distribution business into one providing medical aesthetics and healthcare services. The first step in the transformation involved Albedo acquiring a 51% stake in China imyth Company Pte Ltd( 神话整形医美集团 ), a Singapore-incorporated company which provides health and wellness services in Taiwan and China. Led by one of Taiwan s leading cosmetic surgeons Dr Louis Chung Yih-Chen( 钟易成 ), China imyth offers a range of aesthetic medical services 1

2 including botox, laser treatments, dermal fillers, liposuctions, cellulite reductions, breast augmentations, plastic surgery, anti-ageing treatments and detoxification. Albedo also said today that its subsidiary CMIC Hemodialysis Pte Ltd will set up and operate a new 300-bed hospital to be licensed to a Chinese company associated with the family of a substantial Albedo shareholder. The hospital will provide renal care and haemodialysis services in Qingdao. Albedo Executive Chairman Tai Kok Chuan( 戴谷川 )said: We are happy to announce that our Qingdao partners have assured us that they will be receiving in-principle approvals from the relevant authorities to operate the kidney hospital in Qingdao. The hospital is undergoing renovation and equipment fitting with input from our team of doctors as well as financing from Albedo. Mr Tai added that upon completion of the renovation and setting up of the medical team, the authorities would then issue the requisite hospital license. The hospital has a 20-year lease and is scheduled to commence operation by 1 July Mr Tai said that the planned capital expenditure for hospital s renovation and equipment is estimated at $9 million and will be financed through internally generated funds, bank borrowings and/or equity fund raising. Albedo today placed 300 million shares at $0.01 each to Mr Kiow, a Malaysian with more than 30 years experience in North Asia, including China where he has been based in Shanghai for over two decades. His company Wealth Union operates and franchises a network of 286 slimming salons, 21 fitness centres and three gymnasiums mostly under the W.U.Superfitness and 2

3 Rejoy brands. The brands are franchised to more than 350 entrepreneurs across various parts of China. Wealth Union has annual revenue of over RMB153 million last year and a clientele database of one million health-andbeauty-conscious clients. Wealth Union will market Albedo s medical aesthetic services to its existing clientele. Albedo has today signed a master marketing agreement with Wealth Union under which it will exclusively refer clients to Albedo s aesthetic medical practice. Prior to setting up Wealth Union, Mr Kiow has had extensive experience working for MNCs in Hong Kong, Taiwan and China. From 1980 to 1998, he held senior positions in Electrolux, AMC and Sara Lee Corporation, before building up Nu Skin brand in China. The share placement makes Mr Kiow among the largest shareholders of Albedo owning 9.84% of the company s enlarged share capital. In addition to the kidney hospital, Albedo plans to operate a new aesthetic medical clinic in Qingdao in collaboration with Ms Wu Hong Bo, who owns a cosmetic marketing business in Shandong province. The clinic will be housed within a 1930s European style conservation villa and is currently being renovated. It is expected to be operational in March this year. Albedo Chief Executive Officer Dr He JuBin ( 何炬斌 ), said: We are very excited about our marketing collaboration with Frankie. We believe that his established track record in the fitness and wellness industry in China, and his extensive network of contacts in China, will accelerate Albedo s long-term expansion plans in China. 3

4 We are also excited with our plans for the kidney hospital in Qingdao as it will position us to tap into the potentially huge demand for haemodialysis treatments in China. A report by one of United States largest kidney care company DaVita shows that there are around two million people in China who require such treatments. However, only 15% of them currently have access to haemodialysis. Moving forward, Albedo is optimistic about the private healthcare opportunities in China and we believe that we are well positioned to take advantage of these opportunities to become a key player in the sector. Dr He added that besides aesthetic medicine and haemodialysis, Albedo is exploring the possibility of managing a chain of community clinics as well as to provide geriatric medical services to China s fast aging population. About Albedo Limited: - The End - Albedo Limited was founded by CEO Tai Kok Chuan in It is engaged in general wholesale trade, manufacturing and processing, and supply and distribution of industrial and engineering raw materials, instruments, semifinished and finished products to the iron and steel industry in the Asia Pacific region. Albedo was listed on the then SGX-SESDAQ in Albedo announced in 2015 that it has acquired a 51% stake in China imyth Company Pte. Ltd. from China Medical Investments Co Pte. Ltd. (CMIC), a company with interest in health services in Taiwan and China. For media queries, please contact: Catherine Ong Associates Pte Ltd Doreen Siow Jaslin Tan Tel: Tel: Cell: Cell: doreen@catherineong.com jaslin@catherineong.com 4

5 This announcement has been prepared by the Company and its contents have been reviewed by the Company s sponsor, PrimePartners Corporate Finance Pte. Ltd. (the Sponsor ) for compliance with the Singapore Exchange Securities Trading Limited (the SGX-ST ) Listing Manual Section B: Rules of Catalist. The Sponsor has not verified the contents of this announcement. This announcement has not been examined or approved by the SGX-ST. The Sponsor and the SGX-ST assume no responsibility for the contents of this announcement, including the accuracy, completeness or correctness of any of the information, statements or opinions made or reports contained in this announcement. The contact person for the Sponsor is Mr Lance Tan, Director, Continuing Sponsorship, at 16 Collyer Quay, #10-00 Income at Raffles, Singapore , telephone (65)