Tat Hong

Tat Hong: undertakes placement of 70m new shares (13.9% of existing sh out) at $1.20/sh, vs the stock’s last close at $1.30. The placement raised total net proceeds of ~$82.1m. Proceeds will be used to expand Tat Hong’s crane fleet to meet rental demand (50%), acquire land and buildings in Spore and Msia to house its expanded crane fleet (50%) and operations and for general corporate funding purposes. The placement was undertaken via a book building exercise led by CLSA. Based on FYMar12 numbers, NAV would increase from $0.98/sh to $1/sh, and EPS would decrease from 7.42cts to 6.95 cts.