Pre Money Equity Valuation
$50,000,000
Min Raise
$12,500,000
Max Raise
$15,000,000
Estimated Close
2019-02-11
Issue Type
IPO
Lead Manager
Bridge Street Capital Partners Pty Ltd
Type of Securities
Shares
Date First Lodged
23/11/2018
Offer Costs $
$1,700,000
Market Cap Max
$65,000,000
Key Executives
Peter French (NED and Chairman), Tracy Lee Cray (NED), Theo Renard (NED), Jhon Shen (ED), Yeshween Mudaliar (MD)
Company Address
Level 19, 227 Elizabeth Street Sydney NSW 2000
Stockbroker's Snapshot
Pharmaceutical distributor
Exchange
ASX
1st Day VWAP
0.22
Chairman's Letter

Dear Investor,
On behalf of the Board of Directors, I am pleased to invite you to become a Shareholder of Mediland Pharm Limited.
Mediland Pharm was founded as a family business in 2002 and has grown to become a market leading retailer servicing the
Chinese inbound tourism sector in Australia. It does this by partnering with major travel agents and wholesale tour operators who
are all Chinese Government certified under the Approved Destination Status (ADS) scheme. The resulting customer volume is
hosted at the Company’s three strategically located retail outlets in Sydney, Melbourne and Surfers Paradise. The Company’s
store locations, retail experience and merchandising strategies are designed to capture a significant share of the spending of
the various tour groups.
Over time, health and wellbeing products have grown to represent a significant portion of overall sales. To capture this
consumer interest, Mediland Pharm intends to develop a range of Company-owned branded products to promote within
its stores within the health care and cosmetic range. All health and wellbeing products that Mediland Pharm sells through
its stores are manufactured in Australia by a contract manufacturer in Therapeutic Goods Administration compliant facilities.
The Company is confident that the branding strategy can ensure the Company’s gross margins are more favourable than
if only third-party products were stocked.
Mediland Pharm has grown strongly over the years, consistent with the growth of inbound tourist numbers from China and
increasing level of expenditure by Chinese tourists. The Company has been profitable in recent years and has no debt.
Mediland Pharm has a clear strategy to grow its business. The Company intends to enhance its existing retail network through
selective store renovations and increasing own-brand sales as a percentage of total sales. Mediland Pharm will also strategically
expand its retail network through development or acquisition of stores catering to Chinese consumers outside of organised
tour groups. These stores will be a unique offering based around smaller store sizes in key locations that emphasise branded
products and customer experience. In addition, the Company will expand its distribution through development of an online sales
platform that it will expand through marketing expenditure so that customers familiar with Mediland Pharm and its brands can
continue to purchase from the Company when they have returned home to China. Over the longer term, the Company will seek
to expand its merchandise to the broader Asia market, including Korea and Japan.
To finance this growth strategy, Mediland Pharm is seeking to raise $12,500,000 through the issue of 62,500,000 Shares at
a price of $0.20 per Share, with the ability to accept oversubscriptions to raise a further $2,500,000. The funds raised will be
used by the Company primarily to finance the continued growth of its business, with a lesser amount allocated to general
working capital and IPO transaction costs.
The Board and management are excited about Mediland Pharm and its growth prospects. The Company has a strong and
profitable business underpinned by long term strategic partnerships and leveraged to rising income levels in China and the
growth in inbound tourism from China to Australia. Mediland Pharm has a growth strategy designed to optimise this business
and capture incremental revenue from new retail channels, emphasising the Company’s own brands. In addition, we have
a highly skilled management team that have served the Company well for many years and have appointed an experienced
Board that we believe will add significant value to the Company in the years ahead.
This Prospectus contains detailed information about the Offer and the historical financial performance of Mediland Pharm,
as well as the key risks associated with an investment in Mediland Pharm. These key risks are set out in Section 6 and include,
among others, reliance on outbound tour operators (OTOs) and inbound tour operators (ITOs), volume of Chinese tourists and
level of spending by Chinese tourists. It is important that you read this Prospectus in its entirety before deciding whether to
invest in the Company.
On behalf of the Directors of Mediland Pharm, I invite you to subscribe for Shares in the Company and I look forward to
welcoming you as a Shareholder.
Yours sincerely,
Dr Peter French
Chairman