Phillip Securities starts Hu An Cable (KI3.SG) at Buy with $0.53 target price. Expects China-based maker of power cables to benefit from country’s RMB600 billion ($117.5 billion) investment to boost electricity market over next 10 years, says Dow Jones.

Phillip Securities notes company already supplying customers with cables meeting high standards expected in industry, while gearing up to provide higher-margin underground cables in industry’s replacement cycle.

“Hu An is poised to take advantage of the changing dynamics of its industry. It should improve its relative position as it expands into high-voltage and ultra-high voltage segments from its existing low- to mid-voltage ones,” says broker.

Shares +3.6% at $0.43.