Ezion

Ezion: Nomura reiterates conviction BUY on Ezion with TP $2.67. Says investors are buying into the sweet spot in Ezion's growth potential in FY14-16e. THe house expects net debt to decline, ROE to stay above 21% and core EPS to record a 36% 3-yr CAGR . Risk is mitigated as Ezion's newbuild liftboats and refurbished service rigs service the shallow water pdtn phase, where the usual oil px breakeven is less than US$40/bbl and demand is among the most resilient among the various types of offshore vessels deployed globally. Mgt met with Nomura investors in S'pore last Friday, and guides that client enquiries continue to be strong.