POSH raises $311m in Singapore IPO

Joseph Keefe
Thursday, April 17, 2014
Image: POSH file photo

POSH prices IPO at S$1.15 per share, near bottom of indicative range. POSH focuses on service to production, maintenance and is keen on growing offshore accommodation business.


PACC Offshore Services Holdings (POSH) could raise at least S$388.27 million ($311 million) after pricing its initial public offering near the bottom of the pricing range indicated earlier, the company said on Thursday.

The deal comes as Singapore's IPO market has struggled in recent years. Most big-ticket listings in Asia opt for Hong Kong where there is more robust demand from Chinese and international investors.

POSH priced the deal at S$1.15 a share against an indicative price range of S$1.13 to S$1.24 a share, it said in its prospectus. The company is selling 337.625 million shares excluding the greenshoe option.

"We priced it on a basis that we felt comfortable in terms of demand of institutional shareholders coming in," Chief Financial Officer Geoffery Yeo told reporters.

Bank of America Merrill Lynch, DBS Bank and Oversea-Chinese Banking Corp Ltd are the joint issue managers, bookrunners and underwriters.

POSH, which is part of the empire of Malaysia's richest man, Robert Kuok, operates 112 vessels and is the largest Asia-based international operator of support vessels for offshore oilfields.

The offshore support vessel division contributed over half of revenue in 2013. Yeo said POSH was focusing on expanding the services, production and maintenance business, rather than exploration, as it was "less prone to volatility".

International oil companies have been tightening spending on exploration and production after a decade of double-digit growth, hurting oilfield service industry along the way.

Earnings from the offshore accommodation segment, which provides vessels that can give offshore production operations extra lodging, engineering, construction and storage capacity, is expected to double to 50 percent by the end of 2015, POSH said.

"We believe the (offshore accommodation) fleet is ageing and needs replacement, at the same time the market is growing," said Chief Executive Officer Gerald Seow.

POSH is taking delivery of several accommodation vessels this year and next, including two large accommodation semi-submersibles that could each provide 750 beds for offshore workers.

POSH's IPO followed that of Pacific Radiance Ltd, an offshore support vessel operator, last November. Pacific Radiance share price closed at S$1.085, up nearly 11 percent from the opening price when the stock started trading.By Elzio Barreto and Rujun Shen ($1 = 1.2503 Singapore Dollars) (Additional reporting by S. Anuradha of IFR in SINGAPORE; Editing by Miral Fahmy)

Maritime Reporter February 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

Maersk Oil Hires Ampelmann Gangway System

After having performed a walk to work (W2W) campaign in the summer of 2014, Motion Compensation Gangways (MCG) developer Ampelmann has again been awarded a contract

Lamprell Delivers Jackup Rig to Greatship

Lamprell announced it has completed construction on jackup drilling rig Greatdrill Chaaru, delivering the rig to Greatship Global Energy Services Pte. Ltd.    Greatdrill

Ensco Announces Cash Tender Offer

Ensco plc announced today that it has commenced a cash tender offer to purchase any and all of its outstanding 3.25% Senior Notes due 2016 (CUSIP No. 29358QAB5).

Energy

Wintershall Takes Over Operatorship of Norwegian Subsea Oil and Gas Field

Wintershall has taken over the operatorship of the subsea oil and gas field Vega from Statoil, Wintershall announced today.   Vega is the BASF subsidiary’s

First Subsea Achieves API 17L1 Certification for Bend Stiffener Connectors

Connector technology developer First Subsea has received APL 17LI certification for its bend stiffener connectors from the American Petroleum Institute, the company announced today.

Lamprell Delivers Jackup Rig to Greatship

Lamprell announced it has completed construction on jackup drilling rig Greatdrill Chaaru, delivering the rig to Greatship Global Energy Services Pte. Ltd.    Greatdrill

Interior Outfitting

Food Handling Products Ordered for Ovation of the Seas

ALMACO informs it has been contracted to deliver food handling products for the Royal Caribbean International’s Ovation of the Seas, the third Quantum-class ship

Her Majesty The Queen to Name Britannia

Her Majesty The Queen, accompanied by His Royal Highness The Duke of Edinburgh, will name the new P&O Cruises vessel Britannia in Southampton on March 10, 2015, P&O Cruises announced.

Holland America Line Wins Cruise Critic Cruisers’ Choice Awards

Holland America Line won top honors in four categories in the 2015 Cruise Critic Cruisers’ Choice Awards. The premium cruise line took first place in Best Dining

Offshore Energy

Wintershall Takes Over Operatorship of Norwegian Subsea Oil and Gas Field

Wintershall has taken over the operatorship of the subsea oil and gas field Vega from Statoil, Wintershall announced today.   Vega is the BASF subsidiary’s

Maersk Oil Hires Ampelmann Gangway System

After having performed a walk to work (W2W) campaign in the summer of 2014, Motion Compensation Gangways (MCG) developer Ampelmann has again been awarded a contract

Lamprell Delivers Jackup Rig to Greatship

Lamprell announced it has completed construction on jackup drilling rig Greatdrill Chaaru, delivering the rig to Greatship Global Energy Services Pte. Ltd.    Greatdrill

 
 
Maritime Careers / Shipboard Positions Maritime Standards Navigation Offshore Oil Pipelines Pod Propulsion Ship Electronics Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.4121 sec (2 req/sec)