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Two big declines on ASX – APN News & Media Limited and ImpediMed Limited

Jan 18, 2017 | Team Kalkine
Two big declines on ASX – APN News & Media Limited and ImpediMed Limited

APN News & Media Limited


APN Details
· Offloading Australian Regional Media business: APN News & Media Limited (ASX: APN) stock lost over 4.1% on January 18, 2017. The group is selling their Australian Regional Media (ARM) to a subsidiary of News Corp and got the ACCC approval for this. With the sale, the group intends to further focus on their media sectors of radio and outdoor. Accordingly, APN acquired the rest of the (50%) of Adshel stake to speed-up their digital investment program, while enhancing their integrated marketing campaigns.

· Recommendation: APN stock lost over 25.5% in the last six months (as on January 17, 2017) and we believe this negative momentum in the stock would continue. We maintain our “Expensive” recommendation at the current price of – $ 2.60

ImpediMed Limited


IPD Details
· Board changes: ImpediMed Limited (ASX: IPD) stock lost over 7.3% on January 18, 2017. Ms Elizabeth Gaines is set to retire from the group’s Board on February 03, 2017 and is getting appointed as the Chief Financial Officer at Fortescue Metals Group Limited from next month. On the other side, the group’s revenues from oncology rose 60% in FY16 against the prior year. The group is positioning itself to address the market opportunity from lymphedema while establishing BIS technology as the gold standard for measuring fluid balance, body composition and hydration. IPD’s core products, SOZO device scans and L-Dex lymphedema detection product promises solid potential on a long-term basis

· Recommendation: IPD stock lost over 42.4% in the last three months (as of January 17, 2017) and the pressure is expected to continue. We give an “Expensive” recommendation on the stock at the current price of - $ 0.82, and would review the stock at later date. 


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