[ET Net News Agency, 30 October 2018] Goldman Sachs raised its target price for
Sinopharm Group (01099) to HK$38.46 from HK$37.42, and maintained its "neutral" rating.
The research house said Sinopharm's 3Q earnings were better than expected. Goldman sees
a potentially more favorable lending environment and less interruption from two-invoice on
Sinopharm in 4Q, though profit growth is likely to be slower versus 3Q, given 4Q 2017's
high base.
Management targets to complete the acquisition of CSIMC (China National Scientific
Instruments and Materials), the medical device distributor, by 2018, and the full-year
financials of the target company will be consolidated upon deal close. (KL)