After Metro, Quarz calls on IHC to sell non-core assets and return cash

SINGAPORE (Jan 13): Quarz Capital Management, an activist investor, has called on International Healthway Corporation to sell its non-core assets and return cash to its investors.

In an open letter to IHC, Quarz points out that the group’s shares have “substantially underperformed its potential for a prolonged time period due to its overly aggressive asset acquisition strategy, lack of strategic focus and several execution issues”. IHC currently trades at a 48% discount to its net asset value of $195 million.

“We are surprised at the lack of active steps taken by the current management to address this shareholder value destructive situation despite the multiple levers at their disposal (such as the partial or full sale of valuable but non-core assets),” said Quarz.

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