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Ezion Holdings Ltd
Premium offshore accommodation vessels project to be shelved Ezion has divested 50% of its shares in Singapore Ocean Hotels Pte Ltd (“Ocean Hotel”), incorporated for the development of Premium Offshore Accommodation Vessels. The Group has decided to re-allocate its resources to focus on projects with stronger cash flow and projects that can provide better return on capital for Ezion after taking into consideration the
development of the project and the current financial market situation.
Maintain BUY with target price of S$0.20
Westcomb increased top and bottom line forecast by 37.3% and 9.3% for FY08F, taking into account the new charter contract and divestment of Ocean Hotel. Despite the upwards revision in earnings forecast, they lower their target price to S$0.20
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