By Ranjit Singh
EVERSENDAI Corporation Bhd on Feb 10 received an offer from its founder and group CEO Tan Sri AK Nathan for the acquisition of his wholly-owned private vehicle, Vahana Offshore Sdn Bhd.
Vahana Offshore currently owns a liftboat business which comprises Aryan Inspire Pte Ltd (Aryan), Arjun Aspire Pte Ltd ( Arjun) and Vahana Marine Solution DMCC (VMS).
Aryan’s liftboat has been completed while Arjun’s will be ready in June next year. VMS provides the services for the two boats.
In a statement to Bursa Malaysia, Eversendai said the move, if realised, will enable the company to diversify its existing business to include one with a stable recurring income.
The purchase price, it added, will be determined on a ‘willing-buyer willing-seller’ basis, and will be settled via the issuance of new redeemable convertible preference shares of Eversendai.
Aryan’s large liftboat has the latest specifications and technology. It is currently locked in a five-year day charter arrangement with Saudi Aramco.
Arjun will similarly be used by Saudi Aramco in a five-year day charter arrangement.
“The cost of constructing Aryan was in the region of US$102 mil and Arjun cost us US$100 mil. As of now, Arjun is 40% completed,” said Nathan in a media briefing on Feb 10.
He expects Aryan to contribute 20% to Eversendai’s bottomline in FY2020 which ends on Dec 31.
Each liftboat has a lifespan of 35 years and can withstand harsh weather conditions. It can also house 200 personnel.
It has a 300-tonne self-propelled crane for use for well intervention and commissioning/ decommissioning works.
Nathan said he is committed to lowering Eversendai’s gearing, which stands at 1.3x currently.
On another note, he said that he wants to pare down his stake in Eversendai, which is “around 71%,” to 50% to improve the company’s liquidity and conform to the public shareholding spread requirement of the company. – Feb 10, 2020
