Stock Name: BerlianLaju
Company Name: PT BERLIAN LAJU TANKER TBK
Research House: CIMB
“Previously, Berlian has banked on the implementation of the cabotage requirements to help it secure some domestic Floating Production storage and Offloading contracts. Abandonment of the cabotage rule could result in a more competitive environment for future FPSO bids.”
Company Name: PT BERLIAN LAJU TANKER TBK
Research House: CIMB
CIMB downgrades Berlian Laju Tanker (B66.SG) to Trading Sell from Outperform, with a lower target of $0.05. The house notes, the Indonesian government has announced that planned implementation of cabotage requirements from May for offshore oil and gas vessels has been abandoned; (cabotage is the movement of goods between two points in the same country by a foreign-owned vessel).
“Previously, Berlian has banked on the implementation of the cabotage requirements to help it secure some domestic Floating Production storage and Offloading contracts. Abandonment of the cabotage rule could result in a more competitive environment for future FPSO bids.”
Following this change, it says planned listing PT Buana Listya Tama could lose its attractiveness to the market, and investor interest might be impacted.
It adds, the recent sale & leaseback agreement worth US$93 million ($118.3 million) and US$685 million refinancing package could be a “short term gain, long term pain.”
Shares are down 10% at $0.045.
No comments:
Post a Comment