Ezion/ Pacific Radiance

Ezion/ Pacific Radiance: CIMB derived a floor price of $0.83 for Ezion and $0.71 for Pacific Radiance, based on a 20% discount to RNAV- which we find a rather unconventional approach for O&M service providers. Based on the above prices, Ezion and Pacific Radiance are trading 26% and 7% higher. CIMB believes that long investors could benefit enormously by positioning themselves in at our recommended entry points, and ride the anticipated rebound in oil prices come 2H15. Until then, CIMB maintains Neutral on the sector. House top picks remain ST Engineering and Swissco.