SembMarine

SembMarine: Could benefit from Petronas' aggressive E&P capex plans in Malaysia, CIMB says. It notes SembMarine secured a US$208m Pacific-class jack-up rig order from Msia's Perisai. Although Perisai has not secured any contract for the rig and is still exploring financing options, we believe the rig is likely to be deployed in Msian waters or in the Asia Pacific region for Petronas. The price is slightly below a recent US$213m Pacific-class order, but that is likely due to a longer delivery timeline and lower drilling depths, house says. The contract brings year-to-date orders to about $3b, it notes. CIMB forecasts 1Q12 net profit of about $1.65m, up 10% yoy with lower operating margins of about 15%; results are due post-market. Tips accumulating on weakness due to undemanding valuations, unwavering oil prices and expected strong order flows. It keeps an Outperform call with a $6.50 TP.