Tiong Woon

Tiong Woon: DBSV initiates with a fair value of $0.45. Tiong Woon is a one-stop, integrated services provider of cranes and heavy lifting equipment. It is leveraging on the buoyant offshore market and the increased infrastructure spending in Singapore as the population grows. About 10% to 20% of Tiong Woon’s FY12 revenue comes from the construction sector in Singapore. Tiong Woon is expected to turnaround this year on the back of improving industry backdrop. The last two quarterly results have also shown significant improvement. The house believes a 9x FY14F PE is fair, vs target multiples of 12x for Tat Hong and 11x for Sin Heng.