Nam Cheong

Nam Cheong: OCBC maintains BUY rating and raises its TP to $0.30. House notes that strong vessel sales momentum in recent months, together with an expected increase in demand for offshore vessels. OCBC also notes Petronas' doubling of its capex budget of RM300b between 2011-2016 announced in FY11, which the house believes Nam Cheong will benefit from the higher demand. Ho Bee Investment: Announced the incorporation of 2 wholly owned subsidiaries- "HB Ferny", and "HB Oracle" in Australia, Gold Coast. "HB Ferny" was set up as a special purpose company for the acquisition of a residential site with a freehold tenure has a land area of 11,356 sq ft and local area plan zoning for high-rise accommodation precinct, with acquisition completed on 31 December 2012. Purchase consideration financed by internal funds of A$1.8m. "HB Oracle" will be used by HBI as part of its ongoing business development and investment in Australia. Street consensus TP of $1.84 before announcement of acquisition.