PACC Offshore Services Holdings (POSH)

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#11
(20-04-2014, 09:50 PM)LionFlyer Wrote: https://opera.mas.gov.sg/ExtPortal/Publi...a578c9ec2a

pg 76. Net cash (used in) investing activities jumped significantly (more than 3 fold) compared to previous year.

GOSH JV currently mired in the corruption case with OSA/PERMEX

http://www.citigroup.com/citi/news/2014/140228b.htm

We and one of our joint ventures, Servicios Marítimos Gosh, S.A.P.I. de C.V. (“GOSH”), have
chartered a total of eight vessels to Oceanografía, S.A. de C.V. (“OSA”), six of which have, in turn,
been chartered by OSA to the Petroleos Mexicanos group of companies (collectively, “PEMEX”),
which is a Mexican state-owned petroleum company involved in the oil and gas sector. Two
persons who hold interests (which may either be direct or indirect interests) in OSA also hold
interests in two of the shareholders of GOSH (who each have interest of 25% in GOSH). Save for
the foregoing, there are no relationships between the parties.
As at the Latest Practicable Date, the administration of OSA has been placed under the control
of the Mexican government, in connection with the Mexican government’s investigations of OSA
over alleged fraud arising from billings charged by OSA to PEMEX. Whilst the charters of two
vessels by OSA from our Group have expired, the six vessels chartered by OSA from GOSH
continue to be deployed on charter to PEMEX. Save for major decisions which require unanimous
agreement among us and our joint venture partners of GOSH, on a day-to-day basis, our Group
manages the commercial and technical operations of GOSH (including the chartering of vessels).
To the best of our knowledge, none of the vessels of our Group and GOSH are involved in the
fraud allegations. None of our Directors and Executive Officers are involved in the fraud
allegations.
As at the Latest Practicable Date, there was outstanding charter hire for the charter of the vessels
due from OSA to our Group and GOSH in the amounts of US$1.9 million and US$16.4 million
respectively.
The abovementioned amount owing to GOSH relates to invoices prior to the establishment of an
irrevocable trust arrangement with OSA and PEMEX on August 8, 2013, pursuant to which PEMEX
will pay all charter hire invoiced by OSA into an irrevocable trust for the benefit of GOSH and our
Company. Although since the establishment of the trust, payments of such charter hire (arising
from invoices for the continuing deployment of the six vessels on charter to PEMEX) have been
made to the trust and subsequently distributed for, amongst others, payment of vessel operating
expenses, repayment of loan and interest owing by GOSH to our Company (which loan is further
described below) and payments to GOSH, there can be no assurance that there will be no
attempts by the creditors of OSA and the Mexican government to dispute the trust arrangement
and claim against charter hires paid or payable to the trust. In addition, the risk of default,
non-payment or non-performance by our customers or third parties described above would apply
equally to PEMEX and there is no assurance that PEMEX would not default in making payments
of such charter hire to OSA through the trust for any reason, including any attempt by PEMEX to
set off any such charter hire payable by it against any other amounts owing to it by OSA.
33
As our Group recognises our proportionate economic interests in GOSH and therefore accounts
for our proportionate share of the results of GOSH accordingly, in view of the uncertainties arising
from the state of affairs of OSA under the Mexican government’s administration, we have made
an allowance of US$8.2 million for the year ended December 31, 2013, being our proportionate
share of GOSH relating to the US$16.4 million outstanding charter hire owing by OSA to GOSH.
Of the US$1.9 million outstanding charter hire due from OSA to our Group, we have made an
allowance of approximately US$0.5 million for the year ended December 31, 2013, being the
amount attributable to services and invoices pertaining to the said year, and we currently expect
to make an additional allowance of up to approximately US$1.4 million for the year ending
December 31, 2014, being the amount attributable to services and invoices rendered for the year.
Please also see “Management’s Discussion and Analysis of Financial Conditions and Results of
Operations – Material Events After December 31, 2013” and “Management’s Discussion and
Analysis of Financial Conditions and Results of Operations – Review of Operating Results – Year
ended December 31, 2013 compared to year ended December 31, 2012”. Although we intend to
apply to the administrator of OSA to recover such amounts owing, there can be no assurance that
we may be able to recover the amount, in full or in part, if at all.
Our Company has also granted a loan (of which the outstanding amount as at December 31, 2013
was US$109.8 million) to GOSH for the acquisition, modification and mobilisation of the six
vessels of GOSH which have been chartered to OSA. The loan was granted in view of the
unacceptable terms offered by the local banks in Mexico. There are no fixed repayment
instalments and the charter hire that is paid into the trust (referred to above) are paid back to our
Group and the net amount (after deducting commission, vessel operating expenses and taxes) is
applied against the loan. As security for the loan, we have share pledge agreements with the two
Mexican shareholders of GOSH (representing 50.0% interests in GOSH) and mortgages over the
six vessels owned by GOSH. Please see “Summary – Valuation” for further details on the
valuation of the vessels owned by GOSH. To safeguard our interest, we have in March 2014
initiated legal actions to recover full repayment of the outstanding loan and interest payable to us,
including legal actions to enforce our rights under the share pledge agreements to require the sale
of the shares held by the two Mexican shareholders to such person as we may nominate whereby
the proceeds from such sale will be paid to us to reduce our loan to GOSH (as further described
in “Management’s Discussion and Analysis of Financial Conditions and Results of Operations –
Material Events After December 31, 2013” and “Business – Legal Proceedings”). There can be no
assurance that the security interest we have in respect of this loan will enable us to recover the
amount owing, in full or in part, if at all or that the enforcement of such security interest will not
give rise to any impairment in our investment in GOSH.
As matters pertaining to the administration and investigation of OSA are ongoing, we do not make
any assurances that there will not be other claims, losses or liabilities in connection with GOSH
or our other operations in Mexico
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#12
POSH, DBSV initiate with BUY and TP of S$1.36

The premium operator
• Largest Asia-based provider of offshore support
vessels; youngest midwater/deepwater fleet of
AHTS/PSV globally gives POSH the competitive edge
• Strategy to be market leader in several niches; focus
on identifying emerging growth opportunities early
• Proverbial game changer in FY15 – with delivery of
two semisubmersible accommodation vessels – which
can more than double the Group’s earnings base
• Potential to be long-term winner in the global OSV
space; initiate with BUY and TP of S$1.36
Leading Asia-based operator of offshore support
vessels. POSH is also arguably one of the top five globally,
operating a combined fleet of 112 vessels (including JV
vessels). In a capital intensive industry, being part of the Kuok
Group has its distinct advantages; ready access to affiliated
shipyards and lower financing costs enable it to not only
achieve lower costs of ownership and compete favourably in
the charter market, but also to identify opportunities early and
enjoy first mover advantage in key growth markets.
Deepwater offshore accommodation market the next
big driver. POSH will enter this market with two newbuilds to
be delivered by end-2014, which will make it a key semisub
accommodation vessel (SSAV) provider in the large berthing
capacity space. Along with its non-semisub assets, POSH
should actually emerge as one of the top four offshore
accommodation players by capacity in the world by 2015.
Superior returns can be expected from these semi-sub assets,
given the tight market conditions, and lower ownership costs
achieved by POSH, boosting margins and profits significantly
from FY15 onwards. POSH has already won a contract with
attractive terms for the first SSAV from Petrobras.
Initiate coverage with BUY; TP of S$1.36. Our valuation
peg of 10x FY15F earnings is in line with the average of
regional peers, despite stronger growth potential on the back
of a healthy balance sheet post-IPO. Key near-term catalysts
will be: i) Significant charter contract wins, including a
contract for its second SSAV, which should provide very
strong visibility for FY15 earnings; ii) Resolution of certain
near-term issues at its Mexico JV, and iii) Better-than-expected
quarterly earnings delivery.
Reply
#13
[-ve news] POSH SP .. semi-submersible barge sinks, three dead

Three crew members died when a semi-submersible barge owned by PACC
Offshore Services Holdings (POSH) sank off Indonesia on Friday.

The Singapore-flagged, 2012-built, POSH Mogami sank 2 nm off Sekupang,
Batam Island Indonesia, with nine crew onboard, according to the Maritime &
Port Authority of Singapore (MPA).

“It was reported that the semi-submersible barge was carrying out
submerging trials at the time of the incident,” the MPA said.

It said the Indonesian authorities had rescued six crew members and
recovered the bodies of three who died in the accident. The three who died
were Singapore, Myanmar and Chinese nationals teh MPA said.

According POSH’s website the 30,500 dwt semi-submersible barge was classed
by ABS.

As the flag state MPA said it was investigating the cause of the accident.

POSH is listed on the Singapore Exchange and part of the Kuok Group.
Reply
#14
Already down 27% from IPO price of 1.15 . Bottom ?
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
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#15
After my Jaya bad experience during the GFC, I never trusted any OSV plays... all con jobs.

Can u imagine 30yr scraps being passed off as viable assets and touted as growth stocks for Ezion...

Ezra has already passed its used by dates and has been struggling since...

Shipping is already a tough industry let alone a sector that depends on derived demand such as oil prices and the exploration activities...

No more OSV companies for me...

If OSV is good, why did PE owner of Jaya parted with Jaya's business at a discount after supposedly turning the corner?

Robert Kuok is a rich man that does need to watch share prices of his listees... In fact his timing on deals has always been excellent, he delists when it is cheap like in PCL and Allgreen and lists when he thinks that value is rich...

1 Cent Worth
GG

(22-09-2014, 08:34 PM)cfa Wrote: Already down 27% from IPO price of 1.15 . Bottom ?
Reply
#16
(22-09-2014, 08:53 PM)greengiraffe Wrote: After my Jaya bad experience during the GFC, I never trusted any OSV plays... all con jobs.

Can u imagine 30yr scraps being passed off as viable assets and touted as growth stocks for Ezion...

Ezra has already passed its used by dates and has been struggling since...

Shipping is already a tough industry let alone a sector that depends on derived demand such as oil prices and the exploration activities...

No more OSV companies for me...

If OSV is good, why did PE owner of Jaya parted with Jaya's business at a discount after supposedly turning the corner?

Robert Kuok is a rich man that does need to watch share prices of his listees... In fact his timing on deals has always been excellent, he delists when it is cheap like in PCL and Allgreen and lists when he thinks that value is rich...

1 Cent Worth
GG

(22-09-2014, 08:34 PM)cfa Wrote: Already down 27% from IPO price of 1.15 . Bottom ?

GG , Thanks for sharing . Tend to agree with you . AVOID is the word.
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
Reply
#17
(22-09-2014, 08:53 PM)greengiraffe Wrote: After my Jaya bad experience during the GFC, I never trusted any OSV plays... all con jobs.

Can u imagine 30yr scraps being passed off as viable assets and touted as growth stocks for Ezion...

Ezra has already passed its used by dates and has been struggling since...

Shipping is already a tough industry let alone a sector that depends on derived demand such as oil prices and the exploration activities...

No more OSV companies for me...

If OSV is good, why did PE owner of Jaya parted with Jaya's business at a discount after supposedly turning the corner?

Robert Kuok is a rich man that does need to watch share prices of his listees... In fact his timing on deals has always been excellent, he delists when it is cheap like in PCL and Allgreen and lists when he thinks that value is rich...

1 Cent Worth
GG

(22-09-2014, 08:34 PM)cfa Wrote: Already down 27% from IPO price of 1.15 . Bottom ?

Everybody said property was dead back then. And robert Kuok got it cheap. Now eveybody says shipping is dead. And robert Kuok sells only 25%. If it was that bad, why wouldnt he sell 80% ?
Reply
#18
(23-09-2014, 01:05 AM)propertyinvestor Wrote:
(22-09-2014, 08:53 PM)greengiraffe Wrote: After my Jaya bad experience during the GFC, I never trusted any OSV plays... all con jobs.

Can u imagine 30yr scraps being passed off as viable assets and touted as growth stocks for Ezion...

Ezra has already passed its used by dates and has been struggling since...

Shipping is already a tough industry let alone a sector that depends on derived demand such as oil prices and the exploration activities...

No more OSV companies for me...

If OSV is good, why did PE owner of Jaya parted with Jaya's business at a discount after supposedly turning the corner?

Robert Kuok is a rich man that does need to watch share prices of his listees... In fact his timing on deals has always been excellent, he delists when it is cheap like in PCL and Allgreen and lists when he thinks that value is rich...

1 Cent Worth
GG

(22-09-2014, 08:34 PM)cfa Wrote: Already down 27% from IPO price of 1.15 . Bottom ?

Everybody said property was dead back then. And robert Kuok got it cheap. Now eveybody says shipping is dead. And robert Kuok sells only 25%. If it was that bad, why wouldnt he sell 80% ?
Sell 80% no one will buy from him.


Anyway tycoons used other people money to manage risk or grow bigger. If good stuff sure make type, wont share with the public one la.
"... but quitting while you're ahead is not the same as quitting." - Quote from the movie American Gangster
Reply
#19
IMO. a resignation of CFO is not a good sign for the company. Confused

Mr. Yeoh Seng Huat, Geoffrey joined POSH Group since November 2013.

not vested.

Resignation of CFO Geoffrey Yeoh Seng Huat

.....................

The Board of Directors of PACC Offshore Services Holdings Ltd (the "Company") wishes to announce the resignation of Mr Geoffrey Yeoh Seng Huat as the Chief Financial Officer ("CFO") of the Company with effect from 3 October 2014. Mr Yeoh has tendered his resignation as he wishes to pursue other opportunities.

Mr Yeoh has confirmed to the Audit Committee and the Board that there are no circumstances that he should bring to the attention of the Audit Committee and the Board in relation to his resignation as CFO of the Company.

In view of the current corporate structure, the Financial Controller will be responsible for the finance and accounting functions of the Company while the Company searches for a new CFO.

The details and declarations of Mr Yeoh as required under Rule 704(7) of the Listing Manual of the Singapore Exchange Securities Trading Limited are set out below.

The Board wishes to record its appreciation to Mr Yeoh for his efforts and contributions during his tenure as CFO of the Company.


Geoffrey profile:

Mr. Yeoh Seng Huat, Geoffrey is our Chief Financial Officer, having joined our Group since November 2013.

Mr. Yeoh has more than 20 years of working experience in finance and accounting. From 1980 to 1990, Mr. Yeoh was a vice president at The Chase Manhattan Bank and was involved in corporate banking, corporate finance and debt syndication with assignments in Singapore, New York, Hong Kong and Jakarta. Subsequent to that, Mr. Yeoh was the head of corporate banking and corporate finance at United Overseas Bank from 1991 to 1996 before joining Jasper Investments Limited
(then known as Econ International Limited when it was involved in the business of civil engineering), a listed company on the SGX-ST, in 1996 where he was an executive director for finance, overseeing administrative and financial matters from 1996 to 2005. Of late, Mr. Yeoh has been actively involved in the offshore oil and gas drilling industry in his role as the chief executive officer and executive director of Jasper Investments Limited from 2006 to 2012. He was previously an independent director of Swissco Holdings Limited from 2012 to 2013 and is currently an
independent director of ASJ Holdings Limited and Global Testing Corporation Limited, each of which is listed on the SGX-ST.

Mr. Yeoh graduated from the London School of Economics with a Bachelor of Science in Economics (First Class Honours) and is a Fellow of the Association of Chartered Certified Accountants, United Kingdom.
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#20
http://infopub.sgx.com/FileOpen/Results_...eID=324919

List and bombed...
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