[ET Net News Agency, 29 November 2019] Nomura lifted its target price for Shenzhou
International (02313) to HK$133.8 from HK$128.6 and maintained its "buy" rating.
The research house attended Shenzhou's reverse roadshow in Cambodia and Vietnam during
25-28 November. It is positive about its new developments. Nomura expects capacity growth
to accelerate from 10% in FY2019 to 16% in FY2020 and 20% in FY2021.
Shenzhou has invested US$150mn in a new garment plant in Cambodia, which it started to
construct in March 2019. Based on Nomura's on-site visit, construction appears to be on
track to commence operations on Phase-1 in 2Q 2020. (KL)