Grand Banks Yachts

Grand Banks Yachts: ($0.25) Set sail with Genting’s Lim family at the helm; Add to Value portfolio Just days after Grand Banks Yachts (GBY) announced a profitable turnaround in 3QFY14, Genting Group founder Tan Sri Lim Kok Thay gave the thumbs up by adding to his majority shareholding in the company. Over 30 Apr and 2 May, Mr Lim via his investment vehicle Exa, purchased a total of 4.65m GBY shares from the market at an average $0.255 each, lifting his stake from 22.8% to 25.5%. GBY shares initially enjoyed a run up to a high of $0.29, but have since retraced back to $0.25, providing an opportunity for investors to hitch a ride on Lim’s coattails at a more attractive price level. The key catalyst for GBY is its potential removal from the SGX Watch-list – it just needs to report a final quarter of pretax profit in the upcoming FYJun14 results. Further ahead, GBY has plans to transform into world-class yacht maker, following the A$10m merger with Australia’s Palm Beach Motor Yacht. Accordingly, Market Insight adds GBY to its model Value portfolio (entry price: $0.25).