Otto Marine

Otto Marine: Sold an AHTS vessel to a renowned buyer for US$100m. The vessel is currently under construction in the Batam shipyard. Upon completion, the vessel will be chartered by the company’s subsidiary GO Offshore (L) Private Limited for a period up to 8 years. This is expected to be earnings accretive for Otto Marine’s FY14 performance. Share price was up 4.3% to $0.048 this morning. Otto Marine is trading at forward P/E of 11.6x and 0.5x P/B. The street has a Buy, Hold and Sell call each on the counter, but does not have a consensus TP.