KUALA LUMPUR (April 5): Plantation and healthcare group TDM Bhd, whose share price has been rising recently, said on Friday that it has no plans to list its healthcare arm KMI Healthcare Sdn Bhd.

The group is wholly committed to growing its businesses as outlined in the group's strategic plan, said TDM in a statement to Bursa Malaysia to clarify the group's recent trading activities.

TDM’s share price climbed to a three-year high on Thursday, closing 14% higher at 32.5 sen, amid growing market valuation ascribed to its healthcare-related businesses, particularly after the RM5.7 billion disposal of Ramsay Sime Darby Health Care Sdn Bhd (RSDH) to Columbia Asia Healthcare Sdn Bhd.

On Friday, TDM closed at 32 sen, valuing the group at RM561.17 million. Year-to-date, the counter has risen over 77%.

In its statement, the group added that it is not privy to any undisclosed corporate developments concerning the group's operations or affairs that could explain the recent trading activity.

According to The Edge's report on March 25, the RSDH-Columbia Asia deal has established a new benchmark for the valuation of private hospital operators in Malaysia, sparking investor attention towards similar players such as TDM.

The report also highlighted that TDM has detailed its Vision 2027 strategic business plan, which includes a target profit after tax (PAT) of RM32 million. This plan aims for a PAT margin of 4% and envisions an expanded bed capacity of 880 across its hospitals.

These will be achieved by handling 84,028 inpatients and 652,740 outpatients by 2027, the report stated.

TDM, which is 60%-owned by Terengganu Inc Sdn Bhd, operates five hospitals — in Taman Desa and Kelana Jaya in the Klang Valley, and Kuantan and Kuala Terengganu on the peninsula’s east coast, as well as Tawau in Sabah.

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