15
July 2002
NTI
International
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Scaling
New Heights
Solid
track record and commendable customer base. NTI has
an enviable track record for a company only 5 years old.
These include IT projects with some of the largest corporations
in Malaysia (e.g. integrated land logistics software system
for MISC*, document management system for Affin Bank,
systems integration work for Petronas, engineering design
applications (CATIA solutions) for Perodua and Proton**).
Several projects were also successfully completed for
MNCs such as ExxonMobil and Esso, including some in the
Philippines. This foundation will help the company scale
up into more overseas and MNC accounts.
Higher-margin
in-house intellectual property. NTI has made a big
leap into developing in-house software. Its 2 flagship
software products are InfoCare (healthcare information
system) and ProBank (banking software application). The
hospital package is being implemented at Universiti Malaya
Medical Centre and may soon be rolled out in other Malaysian
hospitals. ProBank is being used by a number of financial
institutions such as Malaysia Discount Bhd, Bank Simpanan
Nasional and Orient Bank (Philippines).
Exciting
prospects ahead. We look forward to exciting times
for the company. Growth will come from the replication
of InfoCare software at more hospitals, participation
in smart school projects and penetration into more IT
projects of existing clientele. The backdrop to this growth
is the Malaysian government's efforts to transition the
country to a knowledge-based economy. The government has
kick-started the process by launching several initiatives
such as the multi-purpose card, smart schools, e-government
and telemedicine. The company will have net cash of S$5.4m
after IPO.
The
IPO is attractively priced at 8x FY01 and 7x FY02 PEs.
Our target price is S$0.38 (13x FY02), pegging it to industry
valuations.
