TMC Life Sciences Bhd (KLSE: TMCLIFE, stock-code 0101) former founder and managing director has finally resigned, as expected after he sold all his stakes in the company. Without any stake it’s only logical for him to resign, sooner rather than later. Let’s put it this way, your commitment somehow is not there anymore once you’ve sold off all your interests. There’s simply no interest to protect anymore.

It’s a different story if Dr. Colin Lee Soon Soo has only sold a fraction of his stake. At least he’s still a substantial shareholder so he would still do his very best for the interest of the company. Sure, he still can attach to the company he founded as an ordinary physician now that he has resigned as the managing director but that would be quite illogical thing to do.

He’s the key-man in the company and nobody knows better than him about the overall operation and management of the company. And need I mention again about his reputation in the field of IVF (In-Vitro-Fertilisation) Pregnancy in Malaysia? Heck, the company is set to lose potential and existing clients if he were to leave the company altogether. TMC Life is not a franchise outlet like McDonald where people will get the same quality of burgers or french-fries. Couples are willing to pay big money seeking Dr. Colin’s help to have babies, period.

 

It’s very unlikely Dr. Colin will spend his remaining years as an ordinary physician at TMC Life. He might as well retire since he can live a very comfortable life with the money he profited from selling his stake to Singapore billionaire Peter Lim Eng Hock. If he’s adventurous enough, he may duplicate what he has built and hope to profit from it again. Or he can continue his interest without the need to report to other shareholders who know nuts about the medical field. Yes, he can open his own brand new fertility centre again.

The big question now is: will TMC Life be the same again without the brain who architected the fertility business? You have to understand that both Vincent Tan and Peter Lim are businessmen whose main goal is to make profit. The fertility definition that they know is how to produce money, not babies. But running a health-care business is not like running number betting outlets of which you just need as many outlet licenses as possible to profit from gamblers.

Nevertheless the world does not spin around Dr. Colin Lee alone and the TMC Life will not go bankrupt if he were to leave tomorrow. Vincent Tan and Peter Lim may have other plans to unlock the values of TMC Life, either by selling it to potential bidders for quick profits or to integrate it with another Merger and Acquisition exercise. But in the short-term the value of TMC Life will definitely drop simply because the key physician is no longer there, assuming Dr. Colin will announce his total departure soon. For now Dr. Colin should just take a long vacation after spending long hours camping at his fertility center.

Other Articles That May Interest You …

• TMC Life – Why did Dr. Colin Lee Sell His Stake?
• 5 Things You Need to Know – from Earnings to AIDS
• StemLife and TMC Life – Vincent Tan to strike a deal?
• TMC Life and StemLife’s Merger on the Horizon?
• Did a Blog cause RM37 million losses to StemLife?
• STEMLIFE Skyrocket without anyone notice
• TMC Life – A Must Have Heathcare Stock in You Portfolio
• Mission Accomplished – 100% Profit with Vincent Tan?

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September 2nd, 2010 by financetwitter

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