Ocean Vantage signs IPO agreement with M&A Securities

PETALING JAYA: Sarawak-based oil and gas (O&G) integrated support services provider, Ocean Vantage Holdings Bhd, 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.

Under 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.

In a statement, Ocean Vantage managing director Kenny Ronald Ngalin said, “This is indeed a momentous occasion for us, especially during these unprecedented times.

“We are aware of the tough operating outlook for O&G players, given the fluctuations in crude oil prices and economic impacts due to the Covid-19 pandemic.

“However, we believe that there are pockets of opportunities for outsourced support services providers such like Ocean Vantage, as large corporations are consolidating their operations and workforce.”

While Ocean Vantage is a relatively young company, he pointed out that “we have been through several challenges since our formation and have 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,” he added.

Established in 2011, the group has served a diverse portfolio of O&G customers from across five regions in more than 15 countries.

The group’s services include engineering, procurement and construction, project management, supply of manpower, supply of materials, tools and equipment, as well as provision of drilling rig charter services.

Ocean Vantage is headquartered in Miri with offices in Bintulu, Puchong and Labuan.

It has a fabrication yard in Senai.

The group’s IPO exercise entails a public issue of up to 82.2 million new shares, representing 20% of its enlarged share capital, and an offer for sale of up to 41.1 million existing shares by way of a private placement to identified investors. Ocean Vantage is scheduled to be listed on the ACE Market by July.

M&A Securities is the principal adviser, sponsor, underwriter and placement agent for the IPO exercise.

Deal sealed: (From left) Gary Ting; M&A Securities’ head of corporate finance, Datuk Bill Tan; managing director of corporate finance of M&A Securities, Martin Phillip Ik Piau; executive director of Ocean Vantage, Kenny Ronald Ngalin; managing director of Ocean Vantage, and Stephen Yau Kah Tak; executive director of Ocean Vantage after the signing.