Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

Gulf Marine Services Plans To Float On LSE - Quick Facts

Gulf Marine Services Plc., operator of one of the largest independent self-propelled Self Elevated Support Vessel or "SESV" fleets globally with a focus on the MENA region and Northwest Europe, announced Monday that it plans to proceed with an initial public offering. It also intends to apply for admission of its ordinary shares to the premium segment of the Official List of the UK Listing Authority and to trading on the main market of the London Stock Exchange.

Gulf Marine Services or GMS operates a core fleet of nine SESVs which are four-legged self-propelled vessels with a large deck space, crane capacity and accommodation facilities that can be adapted to the requirements of the Company's clients. GMS has been operating since 1977 and was acquired by its current shareholders in 2007.

The company services a blue-chip client base through long-term contracts, with an average current contract duration of 2.8 years as at 31 December 2013, including client options to extend, and with an average utilisation of 90% from 2008-2013. The Company has a current order book of $434 million including options to extend.

The company said it plans to add up to a further six vessels to its fleet over the next three years as the company continues to target long term client contracts and to pursue strategies to expand its market positions.

Revenues grew from $106.9 million in 2011 to $184.3 million in 2013, representing a CAGR of 31.3%.

From 2014 onwards, the company plans, subject to available distributable profits and shareholder approval, to pay annual dividends based on an initial targeted payout ratio of 10 per cent of the Company's consolidated post-tax profit from its ongoing business.

The company said it expects that net proceeds from the issue of New Shares to the company pursuant to the Offer will be $100 million. It plans to use the proceeds to purchase the Keloa (a Small vessel currently leased by GMS, which GMS has the option to purchase) for $37.5 million and to repay about $20 million in existing shareholder loans, which represents all shareholder loans currently outstanding. The remaining net proceeds will be used, together with existing committed bank facilities and cash generated from operations, to fund GMS's new-build programme.

Gulf Capital, one of the leading alternative asset management firms in the Middle East, through its subsidiaries, Green Investment Commercial Investments LLC and Ocean Investments Trading LLC, Horizon Energy LLC and Al Ain Capital LLC (together, the "Selling Shareholders") are each expected to sell a proportion of their shareholding in the Offer.

Each of the Company, its Directors, the Selling Shareholders and certain other senior management of the Group will agree to customary lock-up arrangements in respect of their holding of Shares for a specified period of time following Admission.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
The U.K. economy grew more than estimated in the second quarter and the current account deficit widened from the first quarter, the Office for National Statistics said Tuesday. Gross domestic product grew 0.9 percent sequentially, up from the prior estimate of 0.8 percent. The annual growth was confirmed at 3.2 percent. Eurozone inflation slowed in September, as expected, to the lowest since late 2009 and the unemployment rate remained stable at a double digit level in August putting pressure on the European Central Bank to launch a full-blown easing. Inflation came in at 0.3 percent, slower than August's 0.4 percent. This was the lowest since October 2009, when prices fell 0.1 percent. Chinese authorities on Tuesday eased some rules for mortgages for buying a second home, in a bid to boost the housing market. The People's Bank of China and the China Banking Regulatory Commission said in a joint statement that buyers who already own one apartment, but have paid off the mortgage...
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.