Yangzijiang

Yangzijiang: CS reiterates Outperform with TP $1.30. At the launching ceremony of Yangzijiang's first 10,000 TEU containership, mgt expressed confidence that customer Seaspan is likely to exercise options for further vessels in the coming months. The group is expected to deliver eight 10,000 TEU containerships in 2014 in total. YZJ also looking to move further up the value chain to secure contracts for 14,000 TEU containerships. As of Sep ‘13, YZJ has US$2.9b of options for 29 bulkers and 22 containerships. CS expects YZJ to secure US$2b of contracts in 2013, as improving order momentum drives a re-rating of the shares.