Sarawak-based oil and gas (“O&G”) integrated support services provider, Ocean Vantage Holdings Berhad, has entered into an underwriting agreement with M&A Securities Sdn. Bhd. in conjunction with its initial public offering (“IPO”) on the ACE Market of Bursa Malaysia Securities Berhad (“Bursa Securities”).
As per the agreement, M&A Securities will underwrite new shares to be made available for the Malaysian public and its eligible directors and employees of the Group.
Managing Director of Ocean Vantage, Kenny Ronald Ngalin said, “This is indeed a momentous occasion for us especially during this unprecedented time. We are aware of the tough operating outlook for O&G players given the fluctuations in crude oil prices and economic impacts due to Covid-19 pandemic. However, we believe that there are pockets of opportunities for outsource support services providers such like Ocean Vantage
as large corporations are consolidating its operations and workforce.”
“While Ocean Vantage is a relatively young company, we have been through several challenges since our formation and remained resilient as we continue to record growth in our business and financial performance, underpinned by our asset light business strategy. Our expansion plans remain intact and we will continue to grow the ecosystem of our services, which includes developing in-house capabilities in underwater diving services and advanced non-destructive testing (“NDT”) inspection services with the proceeds raised. We are also planning to invest and further expand our business in the downstream segment,” Kenny further added.
Ocean Vantage is an O&G integrated support services provider for both upstream and downstream of the O&G industry headquartered in Miri with offices in Bintulu, Puchong and Labuan, and a fabrication yard in Senai.
The Group’s IPO exercise entails a public issue of up to 82.2 million new shares, representing 20 percent of its enlarged share capital, and an offer for sale of up to 41.1 million existing shares by way of private placement to identified investors. Ocean Vantage is scheduled to be listed on the ACE market of Bursa Securities by July 2020.