SEPTEMBER 9, 2013 — Singapore's Jaya Holdings Limited today told shareholders that it has appointed advisers to conduct a "review of the strategic options available to the company with a view to enhancing and unlocking shareholder value."
Jaya says its board "will keep shareholders informed in the event of any material developments," adding that shareholders should note "there is no certainty that the review will result in any proposal or strategic option being implemented." It advises them to exercise caution when dealing in the shares of the company.
The announcement comes less than a month after the company reported consolidated revenue of US$201.8 million (145% higher than the previous financial year) and net profit of US$46.1 million for the financial year ended June 30, 2013.
"Fourth quarter utilization rebounded strongly to a record 91%, Jaya's highest ever," commented CEO and Executive Director Mr. Venkatraman Sheshashayee. "We are pleased that our redoubled efforts to put our vessels to work on term charters have paid off, with many of the new charters on higher rates. Industry fundamentals remain solid, with demand for energy, and thus for oil and gas, continuing to rise, especially in emerging markets."
Jaya Holdings operates a fleet of 28 offshore service vessels and owns and operates two shipyards in Singapore and Batam, Indonesia, and has outsourcing arrangements with several shipyards in China. The two fully owned shipyards are able to build up to nine vessels of up to 130 m per year.
As of August 14, there were four vessels under construction at the Batam yard (a PSV, two ROV subsea operation vessels and a multi-purpose maintenance work offshore vessel). Two AHTSVs were under construction at the Singapore yard and two more PSVs were building in Chinese yards. All these vessels were under construction for Jaya's own fleet, though the yards have also previously built vessels for external customers including Gulfmark Offshore and Edison Chouest