ScomiMR / POS ... Dec10

Scomi Marine Bhd is going to be a cash-rich shell after a series of corporate exercises.

The company will have RM543.81 million cash after it disposes its four marine logistics companies to PT Rig Tender Indonesia Tbk (PTRT) for RM538.3 million.

AS at Sept 30 3.20, Scomi Marine already has RM5.51 million cash in hand, which would amount to RM543.81 million after the disposal.

Earlier 2010, Scomi Marine disposed its 29.07% stake in CH Offshore Ltd to Falcon Energy Group for S$143.5 million (RM331.3 million), registering a gain of RM59.13 million. Scomi Marine then used the proceeds to pare down its debts from RM525.7 million to RM184.8 million.

With that sum of cash in the coffers, it is said that Scomi Marine would reward its shareholders with a dividend payout and bid for Khazanah’s 32.2% stake in Pos Malaysia.

It was reported that Scomi Marine was one of the bidders for Khazanah’s stake in Pos Malaysia.

In mid Dec 2010, Scomi Marine plans to dispose its entire equity interest in CH Logistics Pte Ltd, CH Ship Management Pte Ltd, Grundtvig Marine Pte Ltd and Goldship Private Ltd to 80.95%-owned subsidiary PTRT. PTRT would undertake a renounceable rights issue to partly fund the disposal consideration.

With that move, Scomi Marine Services would be void of any core business and would be classified as a cash company under the PN16 and PN17 of the listing requirements.

Scomi did not give any indication of its next move but merely stated that it would “endeavour to search for the right business to address its classification as a cash company and/or a PN17 company”.

Given Scomi Marine’s said interest in Pos Malaysia, it would make sense for it to sell and divest its stake in the four companies in order to build up the cash needed to purchase the 32.2% stake, potentially valued at RM700 million.

It is not clear what value Scomi Marine would bring to Pos Malaysia’s other shareholders, including the Employees Provident Fund (9.59%), Permodalan Nasional Bhd (8.45%) and Skim Amanah Saham Bumiputera (8.18%).