Invest for a Sustainable Future, Impact Capital Asset Management

ICAM

Invest for a Sustainable Future

Impact Capital Asset Management

Established in August 2020, Impact Capital Asset Management Pte. Ltd. (ICAM) was conceived by seasoned professionals Deepak Mawandia and Atul Tetambe. Both have accumulated a wealth of knowledge and experience from their extensive tenures in the financial sector. In 2019, ICAM secured its RFMC license and subsequently introduced a technology-centric venture fund. By 2021, with the acquisition of its CMS license, ICAM witnessed steady growth in its assets under management. Presently, ICAM manages a portfolio exceeding USD 1 billion, diversified across various countries. Central to ICAM’s foundation is a commitment to offering a platform singularly dedicated to the best interests of its investor clients. The combined expertise of Deepak and Atul firmly establishes ICAM as a notable entity in the wealth management field.

Thematic (Sector/Industry)

<ul>
<li>Singapore recycled only ~5% of its plastic waste in 2023, about 48k tonnes out of ~918k tonnes generated (NEA 2024). </li>
<li>Most plastics are incinerated or exported because virgin resin remains cheaper than recycled material and contamination rates are high. </li>
<li>The sector’s economics are supported by regulation, not market forces. </li>
</ul>


Singapore recycled only ~5% of its plastic waste in 2023, about 48k tonnes out of ~918k tonnes generated (NEA 2024). 
Most plastics are incinerated or exported because virgin resin remains cheaper than recycled material and contamination rates are high. 
The sector’s economics are supported by regulation, not market forces. 


SGX Market Strategist, Equity & Fixed Income, Singapore Exchange Ltd (SGX)

Geoff Howie

SGX Market Strategist, Equity & Fixed Income

Asia’s leading multi-asset exchange

Singapore Exchange Ltd (SGX)

Singapore Exchange is Asia’s leading and trusted market infrastructure, facilitating the exchange of capital and ideas to create value for people, businesses and economies. As a multi-asset exchange operating equity, fixed income and derivatives markets to the highest regulatory standards, SGX is a vertically integrated business that provides listing, trading, clearing, settlement, depository and data services.

With about 40% of listed companies and over 80% of listed bonds originating outside of Singapore as well as established linkages across the region and in Europe, SGX is Asia’s most international and connected exchange. Offering a full suite of derivatives products across Asian equity indices, commodities and currencies, SGX is the world’s most liquid international market for the benchmark equity indices of China, India, Japan and ASEAN.

As Asia’s pioneering central counterparty, SGX is globally recognised for its risk management and clearing capabilities, and was one of the first globally to adopt the Principles for Financial Market Infrastructure.

Headquartered in AAA-rated Singapore, SGX has over 800 employees including offices in Beijing, Chicago, Hong Kong, London, New York, Mumbai, San Francisco, Shanghai and Tokyo.

Equity Bottom-Up

<div><em><strong>Non- SGX Report: These equity research reports are not written by the SGX.</strong>&nbsp;SGX supports the distribution of the research reports by external contributors. Please refer to the Disclaimer in the attached report.</em></div>
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<h2>Vicplas International Ltd</h2>
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<h3>Resilience in the face of cost increases</h3>
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<li>1H22 net profit remained stable at S$5.0m (+0.6% yoy, -3% hoh) despite cost increases and lack of Covid-19-related government subsidies.</li>
<li>Management guided that its Changzhou plant extension (c.7,000 sq. m) is on track for opening near end-FY22F.</li>
<li>ReiterateAddwithTPofS$0.28basedon11xCY23FEPS,inlinewithits FY17-22F average forward P/E multiple.</li>
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<h3>Continued growth momentum in 1H22 despite cost increases</h3>
<p>1H22 revenue of S$63.2m (+12% yoy, +10% hoh) was in line with our expectation at 51% of FY22 forecast. Revenue rose due to increased orders for its medical devices segment, and gradual recovery of the construction industry lifting demand for its pipe and pipe fitting segment. Cost of sales rose to S$29.5m (+12% yoy, +14% hoh) due to increase in raw materials cost for both segments. 1H22 net profit of S$5.0m (+0.6% yoy, -3% hoh) was in line with our expectation at 45% of FY22 forecast. Net profit margin of 7.9% was impacted by start-up costs, higher raw material and energy costs, and the lack of Covid-19 related government subsidies compared with previous periods. No dividends were declared.</p>
<h3>Changzhou plant extension on track</h3>
<p><br>As Vicplas continued its transition into a medical-focused group, it commercialised new projects and further expanded its global customer base in 1H22; this helped to increase its medical segment revenue to S$45m (+11% yoy, +13% hoh). Higher operating costs and labour shortages resulted in its earnings before interest and tax expenses (EBIT) falling 15% hoh in 1H22 to S$5.7m (+6.1% yoy). Moving forward, Vicplas expects the positive revenue momentum to continue, but at a more moderate pace given a higher base. Key drivers for this business segment are an aging population, rising demand for healthcare in developing markets, and increased willingness among product owners to outsource their manufacturing.</p>
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Non- SGX Report: These equity research reports are not written by the SGX.&nbsp;SGX supports the distribution of the research reports by external contributors. Please refer to the Disclaimer in the attached report.






Vicplas International Ltd




Resilience in the face of cost increases





1H22 net profit remained stable at S$5.0m (+0.6% yoy, -3% hoh) despite cost increases and lack of Covid-19-related government subsidies.
Management guided that its Changzhou plant extension (c.7,000 sq. m) is on track for opening near end-FY22F.
ReiterateAddwithTPofS$0.28basedon11xCY23FEPS,inlinewithits FY17-22F average forward P/E multiple.





Continued growth momentum in 1H22 despite cost increases
1H22 revenue of S$63.2m (+12% yoy, +10% hoh) was in line with our expectation at 51% of FY22 forecast. Revenue rose due to increased orders for its medical devices segment, and gradual recovery of the construction industry lifting demand for its pipe and pipe fitting segment. Cost of sales rose to S$29.5m (+12% yoy, +14% hoh) due to increase in raw materials cost for both segments. 1H22 net profit of S$5.0m (+0.6% yoy, -3% hoh) was in line with our expectation at 45% of FY22 forecast. Net profit margin of 7.9% was impacted by start-up costs, higher raw material and energy costs, and the lack of Covid-19 related government subsidies compared with previous periods. No dividends were declared.
Changzhou plant extension on track
 As Vicplas continued its transition into a medical-focused group, it commercialised new projects and further expanded its global customer base in 1H22; this helped to increase its medical segment revenue to S$45m (+11% yoy, +13% hoh). Higher operating costs and labour shortages resulted in its earnings before interest and tax expenses (EBIT) falling 15% hoh in 1H22 to S$5.7m (+6.1% yoy). Moving forward, Vicplas expects the positive revenue momentum to continue, but at a more moderate pace given a higher base. Key drivers for this business segment are an aging population, rising demand for healthcare in developing markets, and increased willingness among product owners to outsource their manufacturing.


















(Non-SGX Report) Vicplas International Ltd - Resilience in the Face of Cost Increases

<p><em><strong>Non- SGX Report: These equity research reports are not written by the SGX.&nbsp;</strong>SGX supports the distribution of the research reports by external contributors. Please refer to the Disclaimer in the attached report.</em></p>
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<h2>Vicplas International Ltd</h2>
<h3>Medical business to spearhead growth</h3>
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<p>Vicplas has announced its leadership renewal plan, with Mr Walter Tarca, President of its medical business, assuming the role of CEO on 1 Aug 2022.</p>
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<p>We think the medical segment will drive growth for the company over FY22- 24F while the pipes segment continues its gradual recovery.</p>
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<p>Reiterate Add and TP of S$0.28. Are- rating catalyst is better-than-expected 1HFY7/22F results in Mar 2022.</p>
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<h3>Management renewal in place</h3>
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<p>Vicplas announced on 19 Jan 2022 the appointment of Mr Walter Tarca as Deputy Group Chief Executive Officer of the Vicplas Group effective 1 February 2022. Mr Tarca has been the President of the medical devices segment (Forefront Medical) since 2016. Mr Tarca w ill continue to w ork under the leadership of Mr Cheng Liang, the current Group Chief Executive Officer, during a transition period and will assume the role of Group Chief Executive Officer beginning 1 August 2022. This change of leadership is part of Vicplas’s succession plan.</p>
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Non- SGX Report: These equity research reports are not written by the SGX.&nbsp;SGX supports the distribution of the research reports by external contributors. Please refer to the Disclaimer in the attached report.




Vicplas International Ltd
Medical business to spearhead growth






Vicplas has announced its leadership renewal plan, with Mr Walter Tarca, President of its medical business, assuming the role of CEO on 1 Aug 2022.


We think the medical segment will drive growth for the company over FY22- 24F while the pipes segment continues its gradual recovery.


Reiterate Add and TP of S$0.28. Are- rating catalyst is better-than-expected 1HFY7/22F results in Mar 2022.






Management renewal in place




Vicplas announced on 19 Jan 2022 the appointment of Mr Walter Tarca as Deputy Group Chief Executive Officer of the Vicplas Group effective 1 February 2022. Mr Tarca has been the President of the medical devices segment (Forefront Medical) since 2016. Mr Tarca w ill continue to w ork under the leadership of Mr Cheng Liang, the current Group Chief Executive Officer, during a transition period and will assume the role of Group Chief Executive Officer beginning 1 August 2022. This change of leadership is part of Vicplas’s succession plan.

















(Non-SGX Report) Vicplas International Ltd - Medical Business to Spearhead Growth

<p><em><strong>Non- SGX Report: These equity research reports are not written by the SGX.</strong>&nbsp;SGX supports the distribution of the research reports by external contributors. Please refer to the Disclaimer in the attached report.</em></p>
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<h2>Vicplas International Ltd</h2>
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<h3>Tapping into medical contract manufacturing</h3>
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<li>We initiate coverage of Vicplas with an Add rating and a P/E-derived TP of S$0.28.</li>
<li>We see EPS CAGR of 10.8% over FY7/22-24F for Vicplas, driven by growth in its medical business.</li>
<li>Re-rating catalysts are stronger-than-expected earnings due to new customer/product wins. Downside risks: disruptions from Covid-19.</li>
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<h3>10.8% EPS CAGR over FY22-24F driven by its medical business</h3>
<p>We project 10.8% EPS CAGR over FY22-24F for Vicplas, driven by growth in its medical business. Vicplas noted that the Medtech contract manufacturing market’s revenue size is expected to grow by a CAGR of 11.4% over 2019 (US$52.9bn) to 2025F (US$100.8bn). The key drivers behind this growth are: a) an ageing population; b) increased demand for improved healthcare in developing markets; and c) increased willingness by product owners to outsource manufacturing to trusted partners that can fully support product and process innovation. To benefit from the industry growth, Vicplas aims to have a 7,000 sq m plant extension ready by end-2HFY22F in Changzhou (+100%; its current Changzhou plant occupies an approximate area of 7,024 sq m). According to its FY21 results presentation, the company is also considering the feasibility of acquiring or setting up a new plant near the US to provide additional manufacturing options to new and prospective customers.</p>
<h3>Pipes and piping fittings business is recovering</h3>
<p>We note that Vicplas’s pipes and pipe fittings business is also seeing a recovery. This is in line with the management’s guidance that the construction industry in Singapore is gradually recovering from the impact of Covid-19 though labour shortages and supply chain disruptions remain key risks. Other than the residential property market, Vicplas has also focused its efforts on government driven infrastructure spending. This segment’s profit (see Figure 18) grew to S$3.2m in FY21 from S$2.6m in FY20.</p>
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Non- SGX Report: These equity research reports are not written by the SGX.&nbsp;SGX supports the distribution of the research reports by external contributors. Please refer to the Disclaimer in the attached report.




Vicplas International Ltd




Tapping into medical contract manufacturing





We initiate coverage of Vicplas with an Add rating and a P/E-derived TP of S$0.28.
We see EPS CAGR of 10.8% over FY7/22-24F for Vicplas, driven by growth in its medical business.
Re-rating catalysts are stronger-than-expected earnings due to new customer/product wins. Downside risks: disruptions from Covid-19.





10.8% EPS CAGR over FY22-24F driven by its medical business
We project 10.8% EPS CAGR over FY22-24F for Vicplas, driven by growth in its medical business. Vicplas noted that the Medtech contract manufacturing market’s revenue size is expected to grow by a CAGR of 11.4% over 2019 (US$52.9bn) to 2025F (US$100.8bn). The key drivers behind this growth are: a) an ageing population; b) increased demand for improved healthcare in developing markets; and c) increased willingness by product owners to outsource manufacturing to trusted partners that can fully support product and process innovation. To benefit from the industry growth, Vicplas aims to have a 7,000 sq m plant extension ready by end-2HFY22F in Changzhou (+100%; its current Changzhou plant occupies an approximate area of 7,024 sq m). According to its FY21 results presentation, the company is also considering the feasibility of acquiring or setting up a new plant near the US to provide additional manufacturing options to new and prospective customers.
Pipes and piping fittings business is recovering
We note that Vicplas’s pipes and pipe fittings business is also seeing a recovery. This is in line with the management’s guidance that the construction industry in Singapore is gradually recovering from the impact of Covid-19 though labour shortages and supply chain disruptions remain key risks. Other than the residential property market, Vicplas has also focused its efforts on government driven infrastructure spending. This segment’s profit (see Figure 18) grew to S$3.2m in FY21 from S$2.6m in FY20.

















(Non-SGX Report) Vicplas International Ltd - Tapping into Medical Contract Manufacturing

<figure class="editor-figure mceNonEditable"><img src="https://api2.sgx.com/sites/default/files/2021-11/Vicplas-%20President.PNG" class="editor-image img-responsive"></figure>
<div class="content-caption">Vicplas - President</div>
<p></p>
<p>For healthcare specialist Walter Tarca, preserving the status quo is the surest way to slide into mediocrity and decline.&nbsp;<br><br>“One principle that’s important to me is taking personal responsibility to continually improve and grow - whether it’s for the business or for yourself - and never be accepting of the status quo,” said the President of SGX-listed Vicplas International Ltd’s Medical Devices Segment.<br><br>“I’m inspired by people who stretch themselves with big goals, and then go out and achieve those targets with excellent preparation and manic determination to succeed.”<br><br>Tarca’s dedication to the pursuit of excellence and success has its roots in an impoverished childhood and an immigrant life. “My parents were born in the Italian Alps, near Lake Como, and moved to Australia in the late 1950s, searching for a better life for the family,” he recalled.<br><br>“We were quite poor growing up, so I learnt quickly about responsibility, making a contribution from a young age, as well as the value of hard work and commitment.”<br><br>Tarca, a Singapore Permanent Resident for 20 years, holds a Bachelor’s degree in Economics from Adelaide University, and is a Fellow, CPA. He joined Vicplas in 2016 to head its Medical Devices Segment.&nbsp;<br><br>He brings a wealth of experience to the Group, having held senior leadership positions in enterprises throughout the Asia-Pacific region, including China, Japan, India and South Korea over the last 25 years.&nbsp;<br><br>In particular, he has had a successful track record of building and expanding healthcare businesses, focusing on collaborative customer relationships, operating excellence and an engaged workforce.<br><br>“I enjoy working with high-energy individuals who share my passion for continuous improvement and growth,” Tarca noted.<br><br>“These are the people who set ambitious team targets and work really hard themselves, while inspiring others to work together with them. These are also the people that not only care, but who feel a personal responsibility for driving an initiative, and making changes for the better,” he added.<br><br>“I’m fortunate to have many of such individuals in our organisation, who support me and share my vision to continue to grow the Medical Devices Segment into a very significant global player.”<br><br><strong>Laser-Focused Approach</strong><br><br>Established in 1993, Vicplas&nbsp;was listed on the then SGX Sesdaq board in 1999, before being transferred to the Mainboard in 2009. The Group&nbsp;has two core businesses - medical devices and&nbsp;piping systems.&nbsp;<br><br>The design, development and manufacture of sterile and non-sterile medical devices is managed by Vicplas’s wholly owned subsidiary, Forefront Medical Technology, which has manufacturing facilities in Singapore, Changzhou and Xiamen, as well as business development centres in Shanghai and Connecticut.<br><br>The Group’s second core business involves the manufacture and distribution of piping systems for diverse industries through its wholly owned subsidiaries in Singapore and Malaysia.<br><br>Looking back, Tarca attributes the success of Forefront Medical Technology to its laser-focus on the industry segment.&nbsp;<br><br>“We have remained 100% in the medical device space, and have not ventured into automotive or consumer products manufacturing, even though we’ve had opportunities to do so,” he pointed out.<br><br>“The Medical Device industry is highly regulated and requires great skill and expertise, and we want to ensure we are totally concentrated on growing our capabilities in this sector, to provide even more specialised services for our global customers. This focus has allowed us to build quickly on our track record and expand our medical device customer base.”<br><br>Over the last few years, Forefront Medical Technology has also zeroed in on rolling out more automation solutions on its shop floor to drive efficiency improvements and output gains, to meet the requirements of its global clientele.&nbsp;<br><br>“We will continue to drive these digital transformation initiatives forward as much as possible in order to stay very competitive in the marketplace.”<br><br>However, quality of growth also matters, Tarca said. Vicplas wants to ensure that its Medical Devices Segment expands at a sustainable pace over the long term.<br><br>“We're not looking for quick wins. We’re growing nicely, and we want to continue to do so in a sustainable manner year after year,” he added.<br><br>“Our strategic focus at the moment is to further expand our capabilities and services, continue to produce full medical devices, and expand our manufacturing footprint around the world to meet customer needs.”<br><br>However, sustainable growth doesn’t just happen, Tarca acknowledged. “We have very focused objectives towards continuous talent development. Building a high-performance team that shares our vision, and can translate it into day-to-day action, is fundamentally important to managing and achieving high growth.”<br><br><strong>Speed to Market</strong><br><br>The Group has also had to grapple with a number of challenges and risks, not the least of which is COVID-19.<br><br>“The first six months of the pandemic impacted us quite significantly with customers delaying orders of elective surgery products. Of course, we faced the significant disruptions that most companies experienced with regard to labour, sourcing materials and global logistics,” he said.<br><br>“Right now, even though we’re still seeing some impact to operations, I think the worst is behind us with orders returning to normal, and we’re working hard to clear backlog situations in some product areas. To mitigate this situation, we’re staying very close to our suppliers and customers to ensure minimal supply chain disruption.”<br><br>In the Group’s business, maintaining high levels of productivity and connectivity are critical to reducing the time-to-market of new products.<br><br>“Our customers rate us very highly on our speed to market, as we plan and collaborate deeply with them to ensure a clear and urgent path forward to commercialisation and mass production,” he added.<br><br>“We work very hard at managing this process, which at times has been made more challenging due to the pandemic.”<br><br>Meanwhile, in terms of Environmental, Social and Governance (ESG) targets, Forefront Medical Technology is focused on reducing waste and minimising its carbon footprint.&nbsp;It stepped up during the height of the pandemic to assist the Health Authorities in Singapore and the UK to ramp up their supplies of nasal swabs and PPE protective gowns.<br><br>“We’re also working with suppliers and customers to provide the highest quality global risk mitigation, and really make our supply chains more resilient for a post-COVID world,” Tarca said.<br><br>Having put in place well-developed strategies to manage most risks, the 64-year-old is not prone to anxiety, and sleeps well at night. But if he does worry, it’s usually about his staff.<br><br>“Given enough time, competitors can copy most of the things that you do, but what they can’t copy is your people,” he said.&nbsp;<br><br>“So I spend a great deal of time building the right team, giving them learning opportunities, and the confidence to lead Forefront Medical, so that we can accelerate and capture the growth opportunities in this expanding market sector.”<br><br>For this father of three sons, time outside the office is focused on family, usually involving activities like swimming, cycling or trekking.<br><br>His advice to his children is: “The day you plant the seed is not the day you eat the fruit.”<br><br>“In today’s fast-paced world, people expect too much too soon. It’s important in life and business to plant many seeds along your journey, so that you can eat the fruit of your labour not just once, but many times,” he said.<br><br>“Definitely, this is what we’re trying to do at Forefront Medical, a company that’s growing quickly and in a sustainable way to become a strong and trusted manufacturing device partner with innovative solutions that are always considered by product owners.”<br><br><br><strong>Vicplas International Ltd</strong><br><br>Vicplas has two core businesses: the first is the design, development and manufacture of sterile and non-sterile medical devices through its wholly owned subsidiaries in Singapore, China, the UK. The second is the manufacture and distribution of piping systems for diverse industries, including waste and potable water systems for residential homes, schools, commercial and industrial buildings, underground electrical and internal building wire piping systems, as well as data and signal line piping systems for telecommunications companies.<br><br>The company website is: <a href="https://vicplas.com.sg/" target="_blank" rel="noopener"><strong>vicplas.com.sg</strong></a><br><br>Click&nbsp;<a href="https://www.sgx.com/securities/equities/569" target="_blank" rel="noopener"><strong>here</strong>&nbsp;</a>for the company's StockFacts page.<br><br>For the full year ended 31 July 2021 financial results, click&nbsp;<a href="https://links.sgx.com/1.0.0/corporate-announcements/2ZJU2N5OZ603PH2E/684466_2021.09.24%20Vicplas%20FY2021%20Results%20Media%20Release.pdf" target="_blank" rel="noopener"><strong>here</strong></a>.<br><br>&nbsp;</p>
<p><strong>About&nbsp;kopi-C: the Company brew</strong></p>
<p><strong>Text: Jennifer Tan-Stanisic</strong><br><strong>Photo: Company file</strong><br><br><em>kopi-C&nbsp;</em>is a regular column on the SGX Research website that features C-level executives of leading companies listed on Singapore Exchange. These interviews are profiles of senior management aimed at helping investors better understand the individuals who run these corporations.<br><br>For previous editions of&nbsp;<em>kopi-C: the Company brew,</em>&nbsp;please click&nbsp;<a href="https://www.sgx.com/research-education/market-dialogues" target="_blank" rel="noopener">here</a>. &nbsp;<br><br>For more information, or if you would like your senior executives to be featured on SGX Market Dialogues, please send suggestions to&nbsp;<a href="https://www.sgx.com/jennifer.t@sgx.com" target="_blank" rel="noopener">jennifer.t@sgx.com</a>.</p>


Vicplas - President

For healthcare specialist Walter Tarca, preserving the status quo is the surest way to slide into mediocrity and decline.&nbsp;  “One principle that’s important to me is taking personal responsibility to continually improve and grow - whether it’s for the business or for yourself - and never be accepting of the status quo,” said the President of SGX-listed Vicplas International Ltd’s Medical Devices Segment.  “I’m inspired by people who stretch themselves with big goals, and then go out and achieve those targets with excellent preparation and manic determination to succeed.”  Tarca’s dedication to the pursuit of excellence and success has its roots in an impoverished childhood and an immigrant life. “My parents were born in the Italian Alps, near Lake Como, and moved to Australia in the late 1950s, searching for a better life for the family,” he recalled.  “We were quite poor growing up, so I learnt quickly about responsibility, making a contribution from a young age, as well as the value of hard work and commitment.”  Tarca, a Singapore Permanent Resident for 20 years, holds a Bachelor’s degree in Economics from Adelaide University, and is a Fellow, CPA. He joined Vicplas in 2016 to head its Medical Devices Segment.&nbsp;  He brings a wealth of experience to the Group, having held senior leadership positions in enterprises throughout the Asia-Pacific region, including China, Japan, India and South Korea over the last 25 years.&nbsp;  In particular, he has had a successful track record of building and expanding healthcare businesses, focusing on collaborative customer relationships, operating excellence and an engaged workforce.  “I enjoy working with high-energy individuals who share my passion for continuous improvement and growth,” Tarca noted.  “These are the people who set ambitious team targets and work really hard themselves, while inspiring others to work together with them. These are also the people that not only care, but who feel a personal responsibility for driving an initiative, and making changes for the better,” he added.  “I’m fortunate to have many of such individuals in our organisation, who support me and share my vision to continue to grow the Medical Devices Segment into a very significant global player.”  Laser-Focused Approach  Established in 1993, Vicplas&nbsp;was listed on the then SGX Sesdaq board in 1999, before being transferred to the Mainboard in 2009. The Group&nbsp;has two core businesses - medical devices and&nbsp;piping systems.&nbsp;  The design, development and manufacture of sterile and non-sterile medical devices is managed by Vicplas’s wholly owned subsidiary, Forefront Medical Technology, which has manufacturing facilities in Singapore, Changzhou and Xiamen, as well as business development centres in Shanghai and Connecticut.  The Group’s second core business involves the manufacture and distribution of piping systems for diverse industries through its wholly owned subsidiaries in Singapore and Malaysia.  Looking back, Tarca attributes the success of Forefront Medical Technology to its laser-focus on the industry segment.&nbsp;  “We have remained 100% in the medical device space, and have not ventured into automotive or consumer products manufacturing, even though we’ve had opportunities to do so,” he pointed out.  “The Medical Device industry is highly regulated and requires great skill and expertise, and we want to ensure we are totally concentrated on growing our capabilities in this sector, to provide even more specialised services for our global customers. This focus has allowed us to build quickly on our track record and expand our medical device customer base.”  Over the last few years, Forefront Medical Technology has also zeroed in on rolling out more automation solutions on its shop floor to drive efficiency improvements and output gains, to meet the requirements of its global clientele.&nbsp;  “We will continue to drive these digital transformation initiatives forward as much as possible in order to stay very competitive in the marketplace.”  However, quality of growth also matters, Tarca said. Vicplas wants to ensure that its Medical Devices Segment expands at a sustainable pace over the long term.  “We're not looking for quick wins. We’re growing nicely, and we want to continue to do so in a sustainable manner year after year,” he added.  “Our strategic focus at the moment is to further expand our capabilities and services, continue to produce full medical devices, and expand our manufacturing footprint around the world to meet customer needs.”  However, sustainable growth doesn’t just happen, Tarca acknowledged. “We have very focused objectives towards continuous talent development. Building a high-performance team that shares our vision, and can translate it into day-to-day action, is fundamentally important to managing and achieving high growth.”  Speed to Market  The Group has also had to grapple with a number of challenges and risks, not the least of which is COVID-19.  “The first six months of the pandemic impacted us quite significantly with customers delaying orders of elective surgery products. Of course, we faced the significant disruptions that most companies experienced with regard to labour, sourcing materials and global logistics,” he said.  “Right now, even though we’re still seeing some impact to operations, I think the worst is behind us with orders returning to normal, and we’re working hard to clear backlog situations in some product areas. To mitigate this situation, we’re staying very close to our suppliers and customers to ensure minimal supply chain disruption.”  In the Group’s business, maintaining high levels of productivity and connectivity are critical to reducing the time-to-market of new products.  “Our customers rate us very highly on our speed to market, as we plan and collaborate deeply with them to ensure a clear and urgent path forward to commercialisation and mass production,” he added.  “We work very hard at managing this process, which at times has been made more challenging due to the pandemic.”  Meanwhile, in terms of Environmental, Social and Governance (ESG) targets, Forefront Medical Technology is focused on reducing waste and minimising its carbon footprint.&nbsp;It stepped up during the height of the pandemic to assist the Health Authorities in Singapore and the UK to ramp up their supplies of nasal swabs and PPE protective gowns.  “We’re also working with suppliers and customers to provide the highest quality global risk mitigation, and really make our supply chains more resilient for a post-COVID world,” Tarca said.  Having put in place well-developed strategies to manage most risks, the 64-year-old is not prone to anxiety, and sleeps well at night. But if he does worry, it’s usually about his staff.  “Given enough time, competitors can copy most of the things that you do, but what they can’t copy is your people,” he said.&nbsp;  “So I spend a great deal of time building the right team, giving them learning opportunities, and the confidence to lead Forefront Medical, so that we can accelerate and capture the growth opportunities in this expanding market sector.”  For this father of three sons, time outside the office is focused on family, usually involving activities like swimming, cycling or trekking.  His advice to his children is: “The day you plant the seed is not the day you eat the fruit.”  “In today’s fast-paced world, people expect too much too soon. It’s important in life and business to plant many seeds along your journey, so that you can eat the fruit of your labour not just once, but many times,” he said.  “Definitely, this is what we’re trying to do at Forefront Medical, a company that’s growing quickly and in a sustainable way to become a strong and trusted manufacturing device partner with innovative solutions that are always considered by product owners.”   Vicplas International Ltd  Vicplas has two core businesses: the first is the design, development and manufacture of sterile and non-sterile medical devices through its wholly owned subsidiaries in Singapore, China, the UK. The second is the manufacture and distribution of piping systems for diverse industries, including waste and potable water systems for residential homes, schools, commercial and industrial buildings, underground electrical and internal building wire piping systems, as well as data and signal line piping systems for telecommunications companies.  The company website is: vicplas.com.sg  Click&nbsp;here&nbsp;for the company's StockFacts page.  For the full year ended 31 July 2021 financial results, click&nbsp;here.  &nbsp;
About&nbsp;kopi-C: the Company brew
Text: Jennifer Tan-Stanisic Photo: Company file  kopi-C&nbsp;is a regular column on the SGX Research website that features C-level executives of leading companies listed on Singapore Exchange. These interviews are profiles of senior management aimed at helping investors better understand the individuals who run these corporations.  For previous editions of&nbsp;kopi-C: the Company brew,&nbsp;please click&nbsp;here. &nbsp;  For more information, or if you would like your senior executives to be featured on SGX Market Dialogues, please send suggestions to&nbsp;jennifer.t@sgx.com.

Vicplas Eyes Expanding Opportunities in Medical Devices

Singapore

Vicplas International Limited manufactures and distributes unplasticised polyvinylchloride (UPVC) pipes, pipe fittings, and electrical conduits under the Vicplas brand name.  The Company also trades plastic resin, copper pipes and fittings.

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