Yinson Holdings Berhad

Yinson GreenTech Partners Khazanah to Bolster EV Charging Ecosystem

Yinson GreenTech, the green technology arm of Yinson Holdings Bhd, has received an investment from Khazanah Nasional Bhd to increase the number of charging stations in the country.
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Yinson GreenTech said the investment through Khazanah's Dana Impak will allow it to scale up operations in its electric vehicle (EV) charging business, chargeEV.
Yinson GreenTech CEO Lim Chern Yuan said the investment arrived at an opportune time as the company is experiencing substantial business growth.
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"As of December 2024, our pay-per-use revenue has increased fivefold, and our charging sessions have doubled compared to the same period in previous year.
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"We look forward to further enhancing the country’s EV ecosystem to meet the rapidly growing demand for reliable, convenient and seamless charging experiences across Malaysia," he said in a statement.
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Khanazah managing director Datuk Amirul Feisal Wan Zahir said the investment is its commitment to facilitating the nation's transition towards a low-carbon future and aligns with the Energy Transition pillar under Khazanah’s Malaysia Strategy anchored on the “A Nation that Creates” framework.
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"As Malaysia's electric vehicle ecosystem is still in its infancy, our involvement is aimed at nurturing its growth.
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"We hope it will also inspire other investors to join the effort, creating a collaborative approach to building a comprehensive and reliable EV infrastructure across the nation."

$YINSON / 7293 (YINSON HOLDINGS BERHAD)

Source from The Star

@THL02 $YINSON / 7293 (YINSON HOLDINGS BERHAD) FPSO Agogo is scheduled for sail away by end February, having completed its construction. Typically, the timeframe after sail away to first oil is around ~ 9 months, subject to regulations and etc.

This is in line with Yinson Production's guidance for Agogo to achieve first oil by 4Q2025.

$YINSON / 7293 (YINSON HOLDINGS BERHAD) cancels 128mil shares, or about 4% of NOSH.

The SBB will likely continue, then.

Notes on $YINSON / 7293 (YINSON HOLDINGS BERHAD) USD 1bil RCPS Issuance Under FPSO Platform Yinson Production (YinsonP)

1. Value unlocking exercise of YinsonP’s FPSO business by issuance of RCPS.

2. YinsonP was given a Post-money valuation of USD 3.7bil, at 7.1x EV/EBITDA.

3. YinsonP will immediately return USD 200mil to Yinson upon completion of the exercise (within 12 months), which will use the money to invest in the renewable energy segment and return capital to shareholders. 700mil will be retained in YinsonP for potentially 2 more FPSO projects, and 100m for general corporate expenses. The option for additional USD 500mil subscription must be agreed by both parties, otherwise the RCPS will remain only at USD 1bil.

4. This deal values YinsonP at about 2x of Yinson’s current market cap (Roughly RM 8.4bil or USD 1.9b). To note, YinsonP is currently a 100% wholly owned subsidiary of Yinson.

5. The deal will be satisfied with RCPS and warrants—meaning, no immediate dilution until conversion BUT the PS will have coupon rate of roughly 12.95-13.25% p.a. RCPS are perpetual, but with target timeframe of within 3-5 years for potential IPO. It is expected for the RCPS holders to convert their shares only in a monetization event, or Yinson may opt to redeem the RCPS at the future date.

6. Counterparties are said to be highly credible strategic investors. ADIA from Abu Dhabi, BCI from Canada, and RRJ from Singapore.

7. There will be 10% warrants which will have a strike price of US 3.7bil adjusted for dividends excluding the initial USD 200mil to Yinson.

8. Aims to lift EBITDA to ~USD 1.5b p.a. (currently almost USD 1bil p.a.) to prepare for a monetization event, either by IPO or into a Trust structure.

9. Yinson will need to organize an EGM for the corporate action. Once approved, the first USD 200m from YinsonP will be immediately be dividend out to Yinson. The plan is to utilize it to do a mixture of share buy backs and dividends. Special dividend? Subject to board approval. Generally, prefer to have a gradual increase rather than a one lump sum.

10. YinsonP is still targeting another 2 FPSO projects, probably around 2H CY25. Plenty of tenders ongoing and Yinson stands a good chance. After that, YinsonP may opt for 1 FPSO project p.a. Yinson sees a vibrant industry landscape with good industry IRRs.

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$YINSON / 7293 (YINSON HOLDINGS BERHAD) applies for suspension of trading pending a material announcement.

@ricardomilos1021 thanks for sharing bro. And congrats on beating s&p500 last year haha.

$ARMADA / 5210 (BUMI ARMADA BERHAD) n $YINSON / 7293 (YINSON HOLDINGS BERHAD) (as a matter of fact, local fpso industry) is interesting. Things are developing behind the scene, hopefully it goes the way which makes you a good return!

Also prob a good move on YENHER.

Top thread. Lemme contirbute abit oso

Sharing from remisier...

Here’s our strategy piece to kickstart the electrifying year of 2025!

1H25 OUTLOOK: Relying On Domestic Sparks

- While Malaysian equities predictably kicked off the year with caution, the FBMKLCI is still adequately charged up by robust domestic-driven liquidity and events. We anticipate the market to progressively adopt a risk-on mode as we expect US president-elect Donald Trump to be pragmatic in executing trade policies.

- Key arguments include: a) Most US trade policy scenarios envisioned would still favour Malaysia as a business-friendly onshoring manufacturing hub, b) the ringgit should be more resilient this time, and correlation to China’s Rmb hopefully weakens (as in recent periods)

- Market sentiment eventually supportive of outperformances by small-mid caps and selective laggards

- OVERWEIGHT on the building mat, property, construction, and selectively the technology and O&G sectors. Conversely, autos and telcos may Underperform in a rising market.

- Key domestic investment themes include Iskandar 2.0, data centre rollout, renewable energy, wage hikes winners, 4Q24 results season winners and blockchain

- Top picks clear near-term winners (results season) include RGB, MYEG and VS Industry. Others: HLBank, Inari (replaced Gamuda), IOI Prop, Pekat Group, Press Metal

- Thematic Beneficiaries: M&A (Yinson), Iskandar 2.0 and DC plays (SP Setia, Eco World, Mah Sing), mega infra (Gamuda), Wage Hikes and Consumption Spurt (MrDIY). Glove stocks could provide trading opportunities on pullbacks

$YINSON / 7293 (YINSON HOLDINGS BERHAD)
$MRDIY / 5296 (MR D.I.Y. GROUP)
$SPSETIA / 8664 (S P SETIA BERHAD)

happy new year! $YINSON / 7293 (YINSON HOLDINGS BERHAD) FPSO Atlanta achieves first oil.

Yinson Production is pleased to announce that FPSO Atlanta has achieved first oil on 31 December 2024, following a successful 72-hour test. This marks the commencement of the project’s firm charter, with contracted day rates being paid to Yinson Production for a period of 15 years, until 2039.

The project has also achieved an impressive safety milestone of 9.8 million man-hours without lost time incident.

FPSO Atlanta is the third asset in Yinson Production's fleet to operate in Brazil after the successful delivery of FPSO Maria Quitéria in October 2024 and FPSO Anna Nery in May 2023.

The asset is delivered for our client, Brava Energia, previously known as Enauta Energia S.A one of largest Latin American independent oil and gas producer.

Yinson Production Chief Executive Officer Flemming Grønnegaard said, "We are proud to achieve first oil with FPSO Atlanta, marking another significant milestone in our partnership with Brava Energia. This accomplishment showcases our commitment to delivering exceptional operational performance while prioritising sustainability and safety. Our team's dedication and expertise have been instrumental in bringing this project to fruition, and we look forward to a successful 15-year charter."

BRAVA Energia Chief Executive Officer, Décio Oddone, said “The first oil from FPSO Atlanta is a notable milestone for BRAVA. We have worked hard to reach this moment. BRAVA is the first and only independent company in the country to develop a greenfield deepwater production system. This achievement is the result of the effort and dedication of our team over the years. We celebrate today and continue working to make BRAVA an even stronger company.”

Yinson Production Project Manager Scott Bendiksen commented, "The successful delivery of FPSO Atlanta is a testament to the collaborative spirit and resilience of our team and our contractors. We have achieved an impressive safety record and implemented innovative carbon-reducing solutions, demonstrating our focus on responsible operations. We're excited to continue supporting Brava Energia's growth in the Brazilian market."

FPSO Atlanta is a redevelopment project awarded to Yinson Production by Brava Energia on 21 February 2022 as an EPCI (“Engineering, Procurement, Construction, Installation”) Project. In July 2023, Yinson Production exercised its option to purchase FPSO Atlanta, which includes a 15-year firm plus a 5-year option contract for the supply and operations & maintenance with a total contract value of up to USD 1,981 million.

FPSO Atlanta will operate in the Atlanta field in the Santos Basin offshore Brazil. The FPSO has a production capacity of 50,000 barrels of oils per day and a maximum storage capacity of 1,200,000 barrels.

The vessel will feature an efficient carbon management process plant, which utilises fuel gas for cargo tank inertisation that will significantly reduce flare gas emissions through a closed flare system. The plant introduced is a part of Yinson Production’s continuous sustainability efforts in reducing carbon emissions and makes Yinson Production the frontrunner in decarbonising the FPSO industry towards the goal of net zero.

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$YINSON / 7293 (YINSON HOLDINGS BERHAD) 's 49% JV secures a new win for FSO from Murphy Oil at Lac Da Vang.
This JV had previously done FPSO Bien Dong and FPSO Lam Son.

The FSO contract's total value is USD 416mil, smaller than their other FPSOs, over 10 years with option to extend an additional 5 years. According to RHB, the estimated capex for this FSO is around USD 200-250mil, so with 49% stake Yinson should be expected to incur capex of roughly USD 100-125mil over the ~2 years of construction. This isn't particularly big considering everything else Yinson has done, but it's a good sign nonetheless.

It's also worth noting that Murphy Oil is a new client to Yinson, so it's good to have more options in their clientele.

Since FPSO AN, MQ, Atlanta are pretty much completed, and only Agogo is left outstanding, it's about time for Yinson to replenish some orderbook.

From my perspective, I would like it if Yinson starts to deleverage and be extremely picky about new investments once cash flow from their FPSOs start coming in in earnest.

https://cutt.ly/veXuyc5D

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PETALING JAYA: Yinson Production, a unit of Yinson Holdings Bhd announces its Maria Quiteria floating production storage and offloading (FPSO) vessel achieved first oil on Oct 15, 2024, followed by a successful 72-hour test, marking the commencement of its firm charter.

KUALA LUMPUR: Yinson Holdings Bhd has appointed Lim Poh Seong as its independent non-executive director effective from today.  

© New Straits Times Press (M) Bhd

KUALA LUMPUR: Yinson Holdings Bhd has appointed Lim Poh Seong as an independent non-executive director, effective Oct 15, 2024.

Sharing market perspective from broker. Found it useful..

CHINA ROARING BUT MY STILL ATTRACTIVE; RINGGIT DOUBLED EDGED SWORD; FPSO STILL BRIGHT SPARK IN O&G SPACE; ASTRO TURNING AROUND?; PROFIT TAKING FLOWS...

*MY MKT:* *YES, CHINA IS EXCITING AGAIN BUT M’SIA REMAINS THE MARKET TO BE IN =)* In fact, there are many questions remain and execution is key for China esp. fiscally. The capital injections into SOE banks would help but as Michael (CH banks analyst) noted, he’s unsure which segments could *drive loan growth* as households may not be a driver unless *property transactions/consumer confidence* pick up materially. What’s more if demand’s weak, it won’t matter if corporates are given funds while banks may not dare to lend unless they’re absolved of blame for bad debts. Hence, focus on *MY domestic mkt.* though on flows, we see local insti funds are realizing profits.

Yes, ringgit’s strength is a double-edged sword ie. *good for importers but a bane for exporters.* Regardless, seasoned FMs we spoke to aren’t too worried as weaknesses seen in exporters are *short-term knee-jerk* effects. Take *VSI* for instance, stock was beaten down on weak USD as *ASP adjustments are done qtrly.* However, correction is an opportunity to collect instead as eventually, currency differences will be *passed on* while underlying demand for its clients’ *products are healthy.* *SIME’s* position is even *better.* Contrary to mkt. perception, SIME’s a *net beneficiary of RINGGIT gains* due to acquisition of *UMW.* Although *China/industrial* operations have ongoing challenges, thanks to *currency and full UMW* impact, its M’sia based *PBIT contribution will increase* from 24% in ’23 to *60% by ’25,* showing how *accretive UMW is.* Plus, *60% of component costs* are sourced abroad and currency *savings* from this alone flow *straight to EBIT.* All in, with China stimulus, SIME could win on *both* currency and China fronts.

Meanwhile, it’s *not getting better* for O&G services here till better clarity on issues like *Petros/Petronas* and of course, escalating *Mid East* conflict isn’t helping but at least, *FPSO segment* still looks lively. *MISC* looks likely to achieve *first oil for FPSO Mero-3* in the coming days and this a *huge catalyst for 4Q* earnings though this call comes with *caveat* as Petronas *will end 5 x legacy LNG* charters in 27-28 and replace them with charters for *2 x LNG from ‘27* onwards. Basically, it seems *most/all of MISC’s* maturing long term LNG charters with Petronas *will not be extended* for the long haul (20 yr) which Raymond thinks will be a *2-3% negative to earnings.* He’s not worried though as LNG charter *terminations were sort of expected* as other shipping companies can offer *better terms* to Petronas while MISC’s legacy vessels are also *not up to IMO* standards. BUT, MISC now has *orders for 10 x LNG ships* which should more than help *arrest the decline* in LNG earnings from *FY26 onwards* and yes, Mero 3 will be the *driver in FY25.*

Similarly, *YINSON’s* MQ & Atlanta FPSOs will achieve *first oil in Oct and Dec* respectively which is *music to investors’ ears* as this means cash *inflows* from charter hire. Recall, YINSON is a well-run company, in the *right space ie FPSO* and so, its management still wants to take advantage of the *growth* in this segment, but this has come at the *expense of gearing* which has ballooned. So, achieving first oil will boost both *operating cashflows and investors’ confidence* as daily charter hire is paid only when the assets are working.

Finally, *ASTRO,* yes ASTRO just had its *best quarter* in a while *(5 qtrs of decline)* on among other things, *favorable forex impact.* Out of the woods? Hard to say as *rising content costs and adex weakness* persist but encouragingly, bundling/upselling strategies have *driven ARPU* higher. All in, it requires patience when it comes to *ASTRO turnaround* as costs savings are taking *longer* to materialize but at least, the strengthening *ringgit helps* the c.35% USD-based costs, and so, *reinstatement of dividends* could be on the cards which is a rerating catalyst. Hopefully…

$VS / 6963 (V.S. INDUSTRY BERHAD) $SIME / 4197 (SIME DARBY BERHAD) $MISC / 3816 (MISC BERHAD) $YINSON / 7293 (YINSON HOLDINGS BERHAD) $ASTRO / 6399 (ASTRO MALAYSIA HOLDINGS BERHAD)

KUALA LUMPUR: CGS International Research expects Yinson Holdings Bhd’s redeemable convertible preference shares (RCPS) issue to be finalised before the end of 2024.

© New Straits Times Press (M) Bhd

KUALA LUMPUR: CGS International Research expects Yinson Holdings Bhd’s redeemable convertible preference shares (RCPS) issue to be finalised before the end of 2024.

© New Straits Times Press (M) Bhd

UOBKH ALPHA PICKS OCT 2014

Sticking to the variety of investment themes, while adding China mega fiscal stimulus plans as an additional catalytic event driver. Our Alpha Picks are chosen to capitalise on foreign equity inflows (which favour selected banks) and near-term alpha events, including more newsflow on Iskandar 2.0 (eg details of the Special Economic Zone), further data centre related land sales, blockchain, e government project awards, M&As (Yinson is widely expected to deeply monetise its FPSO assets) and beneficiaries of China’s mega fiscal stimulus. A notable confidence booster is RGB International’s recent clarification that last year’s Malaysian Anti-Corruption Commission (MACC) assistance case has been resolved.

Meanwhile, concerns of lumpy forex loss for US dollar earners mostly discounted. Although the market has been wary of US dollar income earners needing to recognise lumpy forex translation losses in the upcoming reporting season (given the sharp rise in the ringgit against the USD), we retain RGB International and VS Industry in our Alpha Picks. These concerns have been mostly priced in as reflected in the stocks’ significant share price retreats from their respective highs in Sep 24, while we look forward to fresh re-rating catalysts.

$RGB / 0037 (RGB INTERNATIONAL BHD) $LAGENDA / 7179 (LAGENDA PROPERTIES BERHAD) $MYEG / 0138 (MY E.G. SERVICES BERHAD) $VS / 6963 (V.S. INDUSTRY BERHAD) $YINSON / 7293 (YINSON HOLDINGS BERHAD)

Yinson Holdings Bhd’s earnings are expected to pick up in the second half of its financial year 2025 (2H25) led by maiden earnings contributions from the floating production, storage, offloading (FPSO) vessels Maria Quitéria and Atlanta.

$YINSON / 7293 (YINSON HOLDINGS BERHAD)
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KUALA LUMPUR: Yinson Holdings Bhd, Astro Malaysia Holdings Bhd, TCS Group Holdings Bhd, Samaiden Group Bhd, Critical Holdings Bhd, Aizo Group Bhd and Kawan Food Bhd are among the stocks to watch on Tuesday.

PETALING JAYA: Yinson Holdings Bhd’s total borrowings jumped 20% in a single quarter to fund project execution, ballooning to RM19.58bil in the second quarter ended July 31, 2024 of financial year 2025 (2Q25).

KUALA LUMPUR: Yinson Holdings Bhd posted a lower net profit of RM203 million during the second quarter (2Q) ended July 31, 2024 (FY 2025), compared with RM230 million in the same quarter last year.

PETALING JAYA: Yinson Holdings Bhd’s Matarani solar plant in Peru has entered into its full operational phase, following the commencement of power export and sales in July 2024.