IPO @ 1.85 n close on 6/6/2014

bsted & icon must dig somewhere for more bullets...

another upcoming econpile....

dig from parent, siblings, lover....

Split yo $ among d 3

from world bank a.k.a. my parents....

Prospectus out
http://www.bursamalaysia.com/market/listed...cements/1640769

split 3 ways? too little... must find somemore $$$...

Opening of application 30/05/2014
Closing of application 06/06/2014
Balloting of applications 10/06/2014
Allotment of IPO shares to successful applicants 23/06/2014
Tentative listing date 25/06/2014

Its revenue / profit more or less quite similar to ALam maritime.... Alam latest price = RM 1.5...

this Icon IPO RM 1.85..... quite high.....

haha IKR! same - Bstead or Icon - have to really choose 1 but both are different industry...its an OnG year so....Icon should be the way to go...

Dei.. Look at the PE first before commenting on the price...

Its PE as stated in Prospectus is 19 to 24.... consider Fair.... but i prefer RM 1.50.... for me quite expensive only..... expensive or not is subjective lo.....

This post has been edited by ferdtwh: May 30 2014, 12:42 PM

listing day falls on World Cup fever (12 Jun to 13 Jul)....will it go >RM 1.85 ?

From The Star

Published: Thursday April 10, 2014 MYT 12:00:00 AM
Updated: Thursday April 10, 2014 MYT 6:58:28 AM

Fund managers keeping an eye on Icon Offshore IPO valuation

by tee lin say


PETALING JAYA: Fund managers studying the upcoming listing of Icon Offshore Bhd are awaiting the indicative initial public offering (IPO) pricing of the company, as they are concerned about softening charter rates.

“Whether or not we buy the shares will depend on the valuation. If it is something above 15 times price earnings ratio, then the likelihood is that we will pass,” said a fund manager.

He was concerned that charter rates for smaller offshore support vessels (OSVs) were coming down, as highlighted by Petroliam Nasional Bhd president and chief executive officer Tan Sri Shamsul Azhar Abbas last month.

Icon Offshore, slated to list in the next few months, has a fleet of 32 vessels, out of which 25 are anchor handling tug and anchor handling tug supply vessels.





“The OSV industry is cyclical, and has had quite a good run. The nature of business in the smaller builts is very competitive, where they can only compete on price. Most of these vessels are also only used during the exploration phase,” said an analyst who is evaluating the IPO.

Ekuiti Nasional Bhd’s (Ekuinas) Icon Offshore, which is reportedly raising some RM450mil from its IPO, is offering 510.77 million shares of 50 sen each, which represents approximately 43.39% of its enlarged issued and paid-up share capital.

This will comprise of an offer for sale of up to 289.02 million existing shares and a public issue of 221.7 million new shares.

It is allocating 40.1% of its proceeds for vessel fleet expansion, 37.1% for repayment of bank borrowings, 17.8% for working capital and the remainder for estimated listing expenses.

In its draft prospectus, Icon Offshore said 65.6% of its vessels was under long-term charter (more than a year), with an average contract duration of 4.6 years.

Icon Offshore is the result of a strategic consolidation of two groups of pure-play OSV companies within Ekuinas’ portfolio – Tanjung Kapal Services Sdn Bhd and OMNI Petromaritime Services Sdn Bhd – that had merged.

Its revenue has increased at a compounded growth rate of 21.6% from RM226.5mil for its financial year ended Dec 31, 2011 (FY11) to RM334.9mil for FY13.

Its adjusted profit after taxation and adjusted profit after taxation margins have increased from RM44.5mil and 19.6%, respectively, in FY11 to RM89.6mil and 26.7%, respectively, in FY13, representing a compounded rate of 41.9%.

2 Concerns here :

1. Fund managers may pull away if PE > 15, Icon Off. current PE is > 15.
2. Charter rates for small vessels coming down, may dilute their coming earnings.

So how, go or not to go.....?

Pls check also alam maritim's PE @ RM1.50...then tell me mahal or not...

Alam Current PE around 20....

i just hoping that this Icon may give some discount, e.g, RM 1.6 also can la.... but end up pricing at RM 1.85....

The reason why - BUY Icon

i) GLC
ii) Ekuinas pampered baby (bumiputra)
iii) Business is linked heavily with Petronas and upcoming bundle of projects, Icon might be awarded projects
iv) GLC again.
v) Gomen let them fall?
vi) OnG Year

Why BUY Bstead?

i) 60% profits as dividend
ii) Prime trees
iii) Increasing hectares to 100,000 this year target
iv) El Nino might affect crops thus increasing palm oil prices (but most likely affect rolls in 2015)
v) Price offers more discount to Icon

Add more if I missed out on anything for you all

Now pick your lot.

apply both of the ipo.

cekidaut the cornerstoners...

http://www.theedgemalaysia.com/business-ne...-investors.html