Author Topic: Advanced Health (AVL)  (Read 12462 times)

jaDEB

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Advanced Health (AVL)
« on: April 09, 2014, 07:36:01 am »
IPO
jaDEB

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Patrick

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Re: Advanced Health (AVL)
« Reply #1 on: April 09, 2014, 07:57:19 am »
http://www.moneyweb.co.za/moneyweb-south-africa/day-hospital-firm-opens-initial-public-offer
Quote
Currently, AVL has two day hospitals in South Africa and three in Australia. In South Africa, it owns the Medgate Day Clinic in Roodepoort and the eMalahleni Day Hospital in Witbank.

It has obtained a license to develop a day hospital in Soweto and is in discussion with a number of groups who have obtained licenses to build hospitals but do not have the funding to develop facilities.

In addition to three day hospitals already established in Australia, it is developing a flagship five-theatre day hospital in Sydney.

Between 80% to 90% of AVL’s profits currently come from its Australia businesses. Its established facilities base generated combined profits of R7.73 million for the year ended June 30 2013 (2012: R5.8 million).

Alongside growth through greenfield developments, acquisitions and partnerships, AVL plans to grow through a focused drive to market the advantages of day hospitals to healthcare practitioners, funders and patients.

“More than 60% of all surgical interventions can be done at day hospitals, which can save in the region of 35% of the costs involved for both funders and patients,” Grillenberger said at a pre-listing presentation in Johannesburg last week.

In South Africa, vested interests and preconceived misconceptions have been hampering the development of day hospitals to their full potential in terms of the cost savings and patient convenience the day hospitals offer,” he added.

“AVL management believes this is set to change, following the announcement by medical scheme Discovery Health to pay surgeons an incentive if they treat patients in a day hospital. We expect other medical schemes to follow Discovery’s example in order to reduce the disproportionate increase in private hospital costs.”

Still not sure I know what a day hospital is though. Are you not allowed to stay overnight? Then they also mention a 5 day hospital, what's the difference between that and a regular hospital?

jaDEB

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Re: Advanced Health (AVL)
« Reply #2 on: April 09, 2014, 08:10:12 am »
Yes, they were on Radio last night. Discovery said that their hospital bills used to be 12% now it is more like 40%. Day hospital is where they do operations that can be done in 1 day. U book in the morning and leave by end of day. Thus no overheads for kitchen, staff is not required for 24hrs and so on. Also he indicated that your hopital is smaller.

Correction

As a percentage of total medical scheme spend, hospital costs rose from 24% in 1990 (R1.26 billion) to 37% in 2010 (R28.3 billion), according to the Council for Medical Scheme (CMS). This is expected to reach 40% in 2015.
« Last Edit: April 09, 2014, 08:35:15 am by jaDEB »
jaDEB

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jaDEB

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Re: Advanced Health (AVL)
« Reply #3 on: April 09, 2014, 08:15:12 am »
According to an abridged prospectus, the company has made an offer of up to 80m ordinary shares at R1 each.
 
The offer is subject to a minimum subscription of R30m (or 30m shares), in order to meet the condition for listing to raise R50m, as set by the Alt-X advisory committee of the JSE.
 
This is also to achieve the spread requirements that the public holds at least 10% of the shares and there are at least 100 public shareholders.
 
Eenhede Konsultante (Pty) Limited, a company controlled by the founder and CEO of the AVL group of companies, Carl Grillenberger (70), holds the remaining R20m stake and is the controlling shareholder.
 
Interested investors will have to apply for at least 5 000 ordinary shares (at a cost of R5 000) upfront, and in multiples of 100 ordinary shares thereafter. Fractions of shares will not be issued.
 
The IPO closes at noon on April 17 and the listing of the shares on the JSE Alt-X counter is scheduled for April 25.
jaDEB

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jaDEB

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Re: Advanced Health (AVL)
« Reply #4 on: April 09, 2014, 08:18:19 am »
flagship five-theatre day hospital in Sydney - I think he means a Day hospital with 5 theatres, not 5 days.
jaDEB

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jaDEB

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Re: Advanced Health (AVL)
« Reply #5 on: April 09, 2014, 11:11:22 am »
http://www.advancedhealth.co.za/uploads/advanced_health_prospectus.pdf

150 Pages -  :wall:  :whistle:

Spoke to some1 before taking my tablets. Put reminder on date of listing. Will see what happens.

The offer comprises an offer to the public to subscribe for 80 000 000 ordinary Shares
at 100 cents per share.

Applications must be for a minimum of 5 000 Shares and in multiples of 100
thereafter.

jaDEB

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Patrick

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Re: Advanced Health (AVL)
« Reply #6 on: April 09, 2014, 12:29:42 pm »
flagship five-theatre day hospital in Sydney - I think he means a Day hospital with 5 theatres, not 5 days.

Ah yes, quite right, my speed reading needs more work. I don't hold anything in the alt-x exchange, does it work just like the regular exchange?

Zubairn

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Re: Advanced Health (AVL)
« Reply #7 on: April 09, 2014, 12:55:02 pm »
Is this worth a punt, profits seem low?

jaDEB

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Re: Advanced Health (AVL)
« Reply #8 on: April 09, 2014, 01:41:48 pm »
As far as I know Alt X works same, except there is more risk, to conform to requirements is less on Alt X than JSE.

Is this worth a punt, profits seem low? - That is why I am here, trying to get info. will keep an eye on it when it gets listed.
jaDEB

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devan

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Re: Advanced Health (AVL)
« Reply #9 on: April 09, 2014, 03:58:07 pm »
It should do well, as they seem to have discovery backing them to some extent as discovery is trying to move more procedures into this category, to save of hospital costs. That's what he was saying on the radio yesterday, so might be worth a punt. Not sure if the price of R1 per share is worth it though, as i have not looked at their financials yet, anyone care to comment on that??

jaDEB

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Re: Advanced Health (AVL)
« Reply #10 on: April 09, 2014, 04:37:00 pm »
"It should do well, as they seem to have discovery backing them" - that is good and bad, imagine Discovery does not , or backs a different horse.
jaDEB

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devan

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Re: Advanced Health (AVL)
« Reply #11 on: April 10, 2014, 08:57:08 am »
well, it makes sense for discovery to back them, as it helps discovery with cost reduction. Maybe they have a signed contract with discovery to provide care at a certain rate, which would then indicate that discovery is fairly serious about this??

jaDEB

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Re: Advanced Health (AVL)
« Reply #12 on: February 23, 2015, 02:17:36 pm »
Any1 invested in this 1?
jaDEB

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bushwakka

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Re: Advanced Health (AVL)
« Reply #13 on: February 27, 2015, 06:12:41 pm »
Yep - I am.

The PE is currently on the high side but long term potential is there. Seems to have the makings of a "Curro" sort of operation and consequently will take a while before dividends are forthcoming. I also find the Australian rand hedge aspect attractive.

jaDEB

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Re: Advanced Health (AVL)
« Reply #14 on: March 01, 2015, 09:50:58 am »
Thanks for reply appreciate it....
jaDEB

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