Biosensors

Biosensors: Announced that it has established a S$800 mn Multicurrency MTN Programme. CS notes that this indicates that Biosensors may announce an acquisition soon with ammunition of a potential S$800 mn, as the company has more than sufficient cash on its balance sheet for its FY13 operations. This could potential enhance FY14/15E EPS by more than 20%. CS has an OUTPERFORM call on the company with a TP of $1.80. Note also that Biosensors may benefit from China's push in the biomedical sector.