Keppel Corp cut to "hold", target cut to $8.65 by OCBC

Stock Name: Keppel Corp
Company Name: KEPPEL CORPORATION LIMITED

Research House: OCBC

Price Call: HOLD

Target Price: 8.65

SINGAPORE (Feb 10): OCBC Investment Research has downgraded Keppel Corp to "hold" from "buy" and cut its price target to $8.65 from $9.14 to reflect increasing risks the rig builder faces in Brazil.

An article last week in oil and gas paper Upstream said Brazil's national development bank BNDES has postponed a US$3.2-billion credit line for several Brazilian shipyards following reports that suggested Sete Brasil is involved in a corruption scandal that has embroiled national oil giant Petrobras.