Perisai ... Mar10

An Indian oil and gas counter could emerge as a substantial shareholder and possibly even end up with a controlling stake in Perisai.

The Indian company is currently in negotiations with Perisai MD, who has a 17.5% stake in Perisai, to buy his block. The stake is held directly and indirectly via his vehicle.

It is still not clear who the Indian party is. But sources say the Indian company is also looking at injecting oil and gas assets, such as pipe laying barge, into Perisai. This will likely give the Indian party a controlling stake in the company. The size of the barge will determine its price, and in turn now many shares the Indian company will take in Perisai in exchange for the assets.

It is also unclear how Perisai’s largest shareholder Mercury Pacific Marine Pte Ltd (24.6%) will react. The shareholders of Mercury Pacific are Datuk Shahrir and Datuk Ahmad Redza. Shahrir is said to be politically well connected. He is brother of Minster of Women, Family and Community Development Datuk Shahrizat. Despite the large shareholding, the duo do not have any board representation in PErisai.

It is also unclear what the Indian company is after in Perisai, but its interest could stem from Perisai’s mobile offshore production and storage units.

Sources say it could be QNGC, which tends to favour Indian companies.

According to Perisai’s balance sheet for FY2009 ended Dec, the company had non current liabilities amounted to RM93 million while current liabilities stood at RM89 million.

The company’s cash and bank balances as at the end of 2009 stood at RM17.8 million while receivables were RM47.7 million. Its net cash position generated from operations in the 12 month period stood at RM90 million.

It posted a net profit of about rM33 million from RM101 million in revenue. In its 4QFY2009, the company suffered a net loss of rm8.4 million.

Will there be much change in the direction of Perisai once its MD exits and the Indian company comes in?