Jefferies, Macquarie favour Australia's Monash IVF's Fertility North acquisition

Monash IVF

20/12/2023 04:01

(Updates with Macquarie note)
    ** Jefferies says Monash IVF Group's  MVF.AX  acquisition of
Fertility North will increase its Western Australia market share
by about 1,400 basis points
        ** Shares of MVF up 1.3% at A$1.37
  
        ** Macquarie expects strong patient pipeline to support
further share gains for MVF
  
    ** Jefferies hikes PT to A$1.50 from A$1.45, maintains
"hold" rating, while Macquarie makes no changes to target price
of A$1.50/shr and "outperform" rating
    ** MVF on Dec. 19 announced it will acquire 80% of Fertility
North Holdings in Perth, with deal completion expected in Q3
    ** Jefferies assumes the acquisition will lead to 3% price
growth in FY25 for the MVF Australian franchise
    ** 5 analysts rate the stock "buy" and 1 "hold"; median PT
A$1.48 – LSEG data
    ** Stock up 43.2%, set for best year since listing in 2014

 ($1 = 1.4791 Australian dollars)

 (Reporting by Rajasik Mukherjee in Bengaluru)
 ((Rajasik.Mukherjee@thomsonreuters.com))