Tuesday, July 5, 2016

Vallianz

Vallianz: CIMB initiates with Add and TP of $0.072
- Earnings visibility from charter backlog of c.US$1.2bn, mostly to national oil companies in the Middle East, with utilisation of 80-90% vs. 50-60% in Asia Pacific.
- Potential further contract wins from Saudi Aramco by leveraging partner Rawabi Holding’s firm relationship with the national oil company (NOC).
-Sharp fall in net gearing from the highs of 2-3x to 0.7x.

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