RAMUNIA Holdings Bhd has signed an underwriting agreement with K&N Kenanga Bhd and AmMerchant Bank Bhd in conjunction with its listing on Bursa Malaysia's second board, scheduled for next month.
The oil and gas engineering and heavy fabrication group expects to be listed via the restructuring and relisting of Saship Holdings Bhd, which is under appointed Special Administrators.
Under the agreement, K&N Kenanga would underwrite 39,027,907 shares placed out to identified investors at 50 sen a share, a statement from Ramunia said yesterday.
On Aug 9, the Securities Commission had granted a conditional approval for Ramunias application for restructuring and relisting.
The restructuring exercise will see Ramunia Fabricators Sdn Bhd, which is one of the three largest fabricators in the country, become a wholly-owned company of Ramunia.
Ramunia will also own Teluk Ramunia Yard in Johor, which is currently operated by Ramunia Fabricators. Teluk Ramunia Yard was initially acquired via Pengurusan Danaharta Nasional Bhd in 2001.
Ramunia Fabricators, being a strong niche player in the high-growth heavy fabrication industry, is one of the only seven companies that holds a Petronas major fabricator licence.
The company presently has in excess of RM100mil worth of projects in its order books stretching through until the first quarter of 2006.
It is also tendering for works worth more than RM1bil from both local and international clients.
Teluk Ramunia Yard, with a long history in the design, engineering and fabrication business, was badly affected by the economic crisis in the late 1990s.
When Ramunia Group took over the asset in 2001, it began to re-establish the business, which included the ground-breaking job for Petronas Carigali Sdn Bhds Kinarut gas field.
Ramunia Fabricators last year completed the gas fields longest jacket, a key component in offshore oil and gas superstructure ever fabricated in Malaysia.
Since the Kinarut job, Ramunia Fabricators has expanded its client base to include oil majors like ExxonMobil and Shell.
It is now poised to bid for jobs from other international oil and gas production-sharing contractors operating in Malaysia, like Amerada Hess, Murphy Oil and Talisman. Bernama
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