Avangaad divests RM45mil FSO


Avangaad Bhd executive director Datuk Mubarak Hussain Akhtar Husin.

PETALING JAYA: Avangaad Bhd has finalised the sale of its floating storage and offloading (FSO) vessel for US$10.5mil (equivalent to RM44.5mil), which will deliver an immediate gain of RM29.4mil.

In a filing with Bursa Malaysia, the company said it had entered into a memorandum of agreement with MTC Energy Sdn Bhd for the sale of the vessel.

The engineering services company said the proceeds will be strategically redeployed into higher-yielding and longer-tenured assets, in line with Avangaad’s long-term strategy, while providing additional headroom for financial flexibility.

“The transaction is expected to strengthen the group’s financial capacity to sustain a broad, balanced fleet and expand its service offerings across oil and gas (O&G) and non-O&G markets.”

Executive director Datuk Mubarak Hussain Akhtar Husin said the transaction is about “creating optionality.”

“We are monetising this asset at the right time to ensure Avangaad stays agile and well-capitalised. In asset strategy, success lies in aligning capability with contract tenure.”

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Avangaad , FSOSale , OilAndGas , AssetMonetisation

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