Stock Name: MISC
Company Name: MISC BHD
Research House: MIDF
KUALA LUMPUR: MIDF Research maintained its neutral recommendation on MISC BHD [] at RM8.17 with an unchanged target price of RM7.81 after the company announced on April 8 it was listing its subsidiary Malaysian Marine & Heavy Engineering Sdn Bhd (MMHE).
The research house said the announcement came as a surprise as it had expected that the two Petronas subsidiaries considered for listing would come from Petronas directly.
"We believe that the capital to be raised would be used for M&A activities. We are maintaining our target price and our neutral recommendation for the moment as it is still early days.
"We also expect that the dilution of income from MMHE would facilitate a potential M&A either by MISC or MMHE. Our target price of RM7.81 is derived from sum-of-parts valuation," it said.
Company Name: MISC BHD
Research House: MIDF
KUALA LUMPUR: MIDF Research maintained its neutral recommendation on MISC BHD [] at RM8.17 with an unchanged target price of RM7.81 after the company announced on April 8 it was listing its subsidiary Malaysian Marine & Heavy Engineering Sdn Bhd (MMHE).
The research house said the announcement came as a surprise as it had expected that the two Petronas subsidiaries considered for listing would come from Petronas directly.
"We believe that the capital to be raised would be used for M&A activities. We are maintaining our target price and our neutral recommendation for the moment as it is still early days.
"We also expect that the dilution of income from MMHE would facilitate a potential M&A either by MISC or MMHE. Our target price of RM7.81 is derived from sum-of-parts valuation," it said.
No comments:
Post a Comment