Latest news with #WiraMubarakHussainAkhtarHusin
The Sun
2 days ago
- Business
- The Sun
Avangaad unlocks RM44.5m to drive strategic growth
KUALA LUMPUR: Bursa Malaysia Main Market-listed marine operations service and solutions provider Avangaad Bhd has completed the sale of its floating storage and offloading (FSO) vessel for US$10.5 million (approximately RM44.5 million), realising an immediate gain of RM29.4 million. The divestment delivers RM44.5 million in cash proceeds, which will be strategically redeployed into higher-yielding, longer-tenured assets in line with Avangaad's long-term growth strategy. This move also provides greater financial flexibility to strengthen the group's capacity for sustaining a balanced fleet and expanding service offerings across both oil and gas (O&G) and non-O&G markets. Executive director Datuk Wira Mubarak Hussain Akhtar Husin described the transaction as a move to 'create optionality' for the group. 'We are monetising this asset at the right time to ensure Avangaad remains agile and well-capitalised. In asset strategy, success lies in aligning capability with contract tenure. Our fleet includes vessels capable of securing decade-long commitments, each contributing to long-term portfolio optimisation,' he said. Datuk Wira Mubarak added that the proceeds act as a natural hedge, enhancing the group's resilience to cyclical market changes while positioning it to capture opportunities that improve earnings visibility. 'The capital unlocked further strengthens our agility and decisiveness, setting a clear course to redefine integrated maritime solutions in the region,' he said. The next capital deployment is currently under review. The gain from this sale underscores Avangaad's stable operational cash flow and its readiness to pursue expanded charter contract opportunities.
Focus Malaysia
3 days ago
- Business
- Focus Malaysia
Avangaad divests RM44.5m FSO asset to re-allocate capital for next-phase investments -
MAIN Market-listed marine operations service and solutions provider Avangaad Bhd [formerly E.A. Technique (M) Bhd] has finalised the sale of its floating storage and offloading (FSO) vessel for a US$10.5 mil (RM44.5 mil) to deliver an immediate gain of RM29.4 mil. At any rate, the latest divestment unlocks RM44.5 mil in immediate cash flow to the group which is now more precisely identified as a marine COP (coordinator, operator and partner). The proceeds will be strategically re-deployed into higher-yielding and longer-tenured assets in line with Avangaad's long-term strategy while providing additional headroom for financial flexibility. For starter, the transaction is expected to strengthen the group's financial capacity to sustain a broad, balanced fleet and to expand its service offerings across oil & gas (O&G) and non-O&G markets. 'This 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,' commented Avangaad's executive director Datuk Wira Mubarak Hussain Akhtar Husin. 'The group's fleet also comprises vessel types capable of securing decade-long commitments, each contributing uniquely to the group's long-term portfolio optimisation.' Moreover, the proceeds would serve as a natural hedge to strengthen Avangaad's agility in navigating cyclical market changes. 'They position us to pursue opportunities that could enhance our earnings visibility and also preserve our balanced mix between O&G and marine logistics,' envisages Mubarak. 'As the group's newly appointed management, we take pride in sharpening our industry differentiator by positioning Avangaad as the Marine COP through our 4P model: Port, People, Product, and Platform.' He added: 'This defines us not merely as asset owners but as the coordinator, operator and partner delivering end-to-end marine solutions. The capital unlocked today further fortifies our agility and decisiveness, thus setting a clear course to redefine integrated maritime solutions in the region.' While the next capital deployment is under consideration, the latest gain re-affirms Avangaad's stable operational cash flow by providing strategic capacity to pursue expanded charter contract opportunities. At the close of today's (Aug 13) market trading, Avangaad was up 1 sen or 3.51% to 29.5 sen with 9.59 million shares traded, thus valuing the company at RM391 mil. – Aug 13, 2025
The Sun
02-07-2025
- Business
- The Sun
Avangaad locks in RM66.8m in port services portfolio with Northport
Avangaad has consistently demonstrated its operational excellence and reliability in managing and operating critical marine assets for Northport. KUALA LUMPUR: Avangaad Bhd, a Bursa Malaysia main market-listed marine transportation and offshore storage specialist, and Libra Perfex Precision Sdn Bhd secured a new contract from Northport (Malaysia) Bhd for RM66.8 million. Extending beyond its stable tenure-based portfolio, Avangaad is actively advancing growth avenues in the non-oil and gas (O&G) segments. These pivotal new contracts validate Avangaad's continued success in strengthening its port and tugboat operations portfolio. Further, Avangaad continues to build on its strong business momentum with Northport, a long-standing client since 2013. Avangaad's three existing 40-tonne Z-Peller harbour tugboats have been awarded a further two-year service extension, totalling an estimated RM18.9 million, reflecting Northport's continued confidence in Avangaad's operational and proven track record in port support services. In addition to the contract extensions, Avangaad has secured a new 5-year contract valued at RM47.9 million to provide daily charter services for 3 units of 50-ton Bollard Pull Z-Peller harbour tugboats, following its successful tender bid for the tugboat services. The contract includes an optional 5-year extension, potentially securing up to a decade of recurring revenue and showcasing Avangaad's long-term earnings visibility and order book strength. These awarded contracts mark Northport's continued trust in Avangaad for the 12th consecutive year. As a long-standing strategic partner to one of Malaysia's leading ports, Avangaad has consistently demonstrated its operational excellence and reliability in managing and operating critical marine assets for Northport. Avangaad executive director Datuk Wira Mubarak Hussain Akhtar Husin said these contract awards are a clear and robust endorsement of Avangaad's proven capability in delivering consistently high standards of service and reliability in marine operations. 'While we continue to maintain a presence in offshore storage, the newly secured contracts emphasise our expansion into non-O&G sectors. 'More importantly, they reiterate our potential to penetrate broader market segments and grow our base of recurring income. 'Our position continues to be validated as Malaysia's only maritime player offering four integrated lines of maritime services. As a diversified solutions provider, we are committed to serving our clients, whom we view as long-term partners, as we scale new heights. 'Capitalising on enhanced governance across Avangaad Group, we remain committed to deepening our sustainability focus. Our proven service offerings underpin a well-diversified portfolio, positioning us to capitalise on future growth opportunities across both the oil and gas (O&G) and non-O&G sectors,' he said in a statement. Under these comprehensive contracts, Avangaad will provide fully manned tugboats with experienced, licensed Malaysian crews, a hallmark of its commitment to local talent development and operational safety. The scope encompasses essential daily charter services, rigorous vessel maintenance, advanced firefighting capabilities, and guaranteed round-the-clock operational availability, all of which are crucial for the efficient and safe conduct of port operations in Northport, Port Klang. These new and extended contracts come on the heels of Avangaad's successful upliftment from PN17 status, showcasing the company's sustained turnaround and strong market confidence. Avangaad remains focused on maintaining high vessel utilisation rates, generating robust cash flow, and implementing ongoing operational improvements, particularly within its expanding tugboat operations. The successful award of new long-term contracts reaffirms Avangaad's proven capabilities and growth potential in the Malaysian maritime sector.
Focus Malaysia
01-07-2025
- Business
- Focus Malaysia
Avangaad Group locks in RM66.8m in port services portfolio with Northport
AVANGAAD Bhd [formerly E.A. Technique (M) Bhd] alongside its subsidiary Libra Perfex Precision Sdn Bhd have secured new contract business awards estimated at RM66.8 mil from port operator Northport (M) Bhd which is a member of the MMC Group. Extending beyond its stable tenure-based portfolio, the Main Market-listed marine transportation and offshore storage specialist is actively advancing growth avenues in the non-oil and gas (O&G) segments. These pivotal new contracts validate Avangaad Group's continued success in strengthening its port and tugboat operations portfolio. As a whole, Avangaad Group has continued to build on its strong business momentum with Northport, a long-standing client since 2013. Its three existing 40-tonne Z-Peller harbour tugboats have been awarded a further two-year service extension totalling an estimated RM18.9 mil which reflected Northport's continued confidence in Avangaad Group's operational excellence, reliability and proven track record in port support services. Additionally, Avangaad Group has also secured a new five-year contract valued at RM47.9 mil to provide daily charter services for three units of 50-tonne Bollard Pull Z-Peller harbour tugboats following its successful tender bid for the tugboat services. The contract includes an optional five-year extension, potentially securing up to a decade of recurring revenue and showcasing Avangaad Group's long-term earnings visibility and order book strength. 'These contract awards are a clear and robust endorsement of Avangaad's proven capability in delivering consistently high standards of service and reliability in marine operations,' commented Avangaad's executive director Datuk Wira Mubarak Hussain Akhtar Husin. 'While we continue to maintain a presence in offshore storage, the newly secured contracts emphasise our expansion into non-O&G sectors. More importantly, they reiterate our potential to penetrate broader market segments and grow our base of recurring income.' According to Mubarak, Avangaad's market position continues to be validated as Malaysia's only maritime player offering four integrated lines of maritime services. 'Capitalising on enhanced governance across Avangaad Group, we remain committed to deepening our sustainability focus. Our proven service offerings underpin a well-diversified portfolio, positioning us to capture future growth opportunities across both O&G and non-O&G sectors.' Under its comprehensive contracts with Northport, Avangaad will provide fully manned tugboat with experienced and licensed Malaysian crews which is a hallmark of its commitment to local talent development and operational safety. These new and extended contracts come on the heels of Avangaad's successful upliftment from its PN17 (Practice Note 17) status which is testament to the group's sustained turnaround and strong market confidence. At the close of today's mid-day market trading, Avangaad was unchanged at 27.5 sen with 711,300 shares traded, thus valuing the company at RM365 mil. – July 1, 2025
