Bumi Armada order book healthy at RM5.8b
Ada 6 IPO tengah offer. yang mana pilihan bro?
Bumi Armada order book healthy at RM5.8b
Published: 2011/06/30
Offshore oil and gas services provider, Bumi Armada Bhd, which aims to raise RM2.029 billion from its initial public offering (IPO), has an order book of RM5.8 billion as at June 1, 2011.
Its executive director/chief executive officer, Hassan Assad Basma, said the
majority of the firm's contracts on its order book also contained extension options, with a potential total value of RM2.5 billion.
"Bumi Armada is
a growth story and we forecast continued growth. As such, we have a good pipeline of future projects. "In floating production, storage and offloading (FSPO), we are busy
tendering for six projects now," he told reporters after the launch of the IPO prospectus here today.
The company, which is expected to be listed on July 21, 2011, is offering 644.26 million new shares at RM3.15 apiece. It will use the proceeds to repay bank borrowing, capital expenditure,
working capital and listing expenses.
The listing is the largest in Malaysia this year and the second biggest listing in South-East Asia. After the IPO, the stake of Usaha Tegas Sdn, the parent of Bumi Armada, will be diluted to 43 per cent from 54 per cent previously.
Bumi Armada has secured cornerstone investors for its institutional offering, namely Great Eastern Life Assurance (M) Bhd, Permodalan Nasional Bhd, HwangDBS Investment Management Bhd, Prudential Fund Management Bhd, Hong Leong Assurance Bhd, Guoline Capital Ltd and Asia Foundation Investment Co Ltd.
They investors agreed to buy 300 million shares, or 10.2 per cent, of the company. On whether the institutional book would be closed early, a Maybank official said the management has not decided yet, adding that interest has been strong
since the book opened on July 28.
Hassan Assad said Bumi Armada planned
to increase its presence in existing markets as well as new markets in Latin America, Africa and Asia in the next two to three years.
"It could be either on a strategic or opportunistic basis. "We will evaluate new markets as and when opportunities arise. However, we anticipate to increase our presence in existing markets including Angola, Brazil, Venezuela, India and Vietnam," he said.
He said 84.8 per cent of the company's revenue for financial year 2010 and 67.7 per cent for first quarter ended March 31, 2011 were derived from outside Malaysia.
Hassan Assad said Bumi Armada
aimed to be the fourth largest FSPO player in the world in terms of fleet size by end-2013, adding that the company's plan was to have one FSPO yearly.
Bumi Armada is Malaysia's largest owner and operator of offshore vessels with about 50 vessels. For the year ended Dec 31, 2010, it recorded a net profit of RM351 million and earnings before interest, tax, depreciation and amortisation (EBITDA) of
RM714 million.
For the three months ended March 31, 2011, its net profit was RM82 million and EBITDA RM185 million. Its revenue for financial year 2010 was RM1.241 billion while revenue for the first quarter ended March 31, 2011 was RM376 million. -- Bernama
p/s: kena guna modal besar utk peluang yg lebih besar..mcm MSM
