Announcement • Jul 26
MMA Offshore to Delist Effective July 26 Cyan Renewables announced the completion of the AUD-1.1-billion (USD 726m/EUR 670m) deal to acquire MMA Offshore Limited, an Australian provider of marine and subsea services to the offshore energy and wider maritime industries. MMA in a separate statement confirmed the finalisation of the go-private deal. It added that shares in the company were suspended on July 11 and will be formally delisted on Friday, July 26, 2024. Announcement • Jul 25
Cyan Renewables Pte. Ltd. completed the acquisition of MMA Offshore Limited (ASX:MRM). Cyan Renewables Pte. Ltd. entered into a binding Scheme Implementation Deed to acquire MMA Offshore Limited (ASX:MRM) for AUD 990 million on March 24, 2024. The shareholder of MMA will receive a cash amount of AUD 2.6 per MMA share. On June 20, 2024, Cyan increased the Scheme Consideration by 10 cents per share to a total of AUD 2.7 cash per share. The Directors of MMA unanimously recommend that MMA shareholders vote in favour of the Scheme. MMA will pay a break fee of AUD 10.26 million to Cyan, in addition to circumstances where Cyan may be required to pay MMA a reverse break fee of that same amount. The transaction is conditional upon approval by MMA shareholders at the upcoming Scheme meeting, approval of the Federal Court of Australia, approval of the Australian Foreign Investment Review Board, no Material Adverse Event and Prescribed Occurrences, the independent expert concluding (and continuing to conclude) that the Scheme is in the best interests of MMA shareholders and another customary condition regarding there being no restraining orders. The deal is expected to close on Mid-Late July 2024. As of May 27, 2024 MMA Directors unanimously recommend to vote in favor of the offer. As of July 8, 2024, the transaction has been approved by shareholders of MMA Offshore. As of July 10, 2024, the Federal Court of Australia has approved the transaction.
MMA Offshore Limited has engaged Rothschild Australia Limited as its financial adviser and Thomson Geer as its legal adviser. UBS Group AG (SWX:UBSG) is acting as financial adviser and Allens as legal adviser to Cyan Renewables Pte. Ltd. and Seraya Partners. Automic Pty Ltd. is acting as the registrar to MMA Offshore Limited. BDO Corporate Finance (WA) Pty Ltd acted as independent financial advisor to MMA Offshore Limited. Barrenjoey Capital Partners acted as financial advisor to MMA Offshore Limited, PWC acted as accountant to MMA Offshore Limited.
Cyan Renewables Pte. Ltd. completed the acquisition of MMA Offshore Limited (ASX:MRM) on July 25, 2024. New Risk • Jul 13
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 5.4% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.7% per year for the foreseeable future. Minor Risks Large one-off items impacting financial results. Shareholders have been diluted in the past year (5.4% increase in shares outstanding). Major Estimate Revision • Jun 21
Consensus EPS estimates increase by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has improved. 2024 revenue forecast increased from AU$410.4m to AU$421.0m. EPS estimate increased from AU$0.221 to AU$0.246 per share. Net income forecast to shrink 13% next year vs 18% growth forecast for Energy Services industry in Australia . Consensus price target broadly unchanged at AU$2.71. Share price fell 3.0% to AU$2.62 over the past week. Board Change • Jun 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 4 experienced directors. 1 highly experienced director. Independent Non-Executive Director Sally Langer was the last director to join the board, commencing their role in 2021. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Mar 27
Cyan Renewables Pte. Ltd. entered into a binding Scheme Implementation Deed to acquire MMA Offshore Limited (ASX:MRM) for AUD 990 million. Cyan Renewables Pte. Ltd. entered into a binding Scheme Implementation Deed to acquire MMA Offshore Limited (ASX:MRM) for AUD 990 million on March 24, 2024. The shareholder of MMA will receive a cash amount of AUD 2.6 per MMA share. The Directors of MMA unanimously recommend that MMA shareholders vote in favour of the Scheme. MMA will pay a break fee of AUD 10.26 million to Cyan, in addition to circumstances where Cyan may be required to pay MMA a reverse break fee of that same amount. The transaction is conditional upon approval by MMA shareholders at the upcoming Scheme meeting, approval of the Federal Court of Australia, approval of the Australian Foreign Investment Review Board, no Material Adverse Event and Prescribed Occurrences, the independent expert concluding (and continuing to conclude) that the Scheme is in the best interests of MMA shareholders and another customary condition regarding there being no restraining orders. The deal is expected to close on Mid-Late July 2024. MMA Offshore Limited has engaged Rothschild Australia Limited as its financial adviser and Thomson Geer as its legal adviser. UBS Group AG (SWX:UBSG) is acting as financial adviser and Allens as legal adviser to Cyan Renewables Pte. Ltd. and Seraya Partners. Automic Pty Ltd. is acting as the registrar to MMA Offshore Limited. Reported Earnings • Feb 23
First half 2024 earnings: EPS exceeds analyst expectations while revenues lag behind First half 2024 results: EPS: AU$0.17 (down from AU$0.22 in 1H 2023). Revenue: AU$204.3m (up 28% from 1H 2023). Net income: AU$62.5m (down 23% from 1H 2023). Profit margin: 31% (down from 51% in 1H 2023). Revenue missed analyst estimates by 7.2%. Earnings per share (EPS) exceeded analyst estimates by 119%. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Global Energy Services industry. Over the last 3 years on average, earnings per share has increased by 112% per year but the company’s share price has only increased by 85% per year, which means it is significantly lagging earnings growth. Announcement • Feb 14
MMA Offshore Limited to Report First Half, 2024 Results on Feb 22, 2024 MMA Offshore Limited announced that they will report first half, 2024 results on Feb 22, 2024 Price Target Changed • Feb 13
Price target increased by 11% to AU$2.20 Up from AU$1.98, the current price target is an average from 5 analysts. New target price is 13% above last closing price of AU$1.95. Stock is up 85% over the past year. The company is forecast to post earnings per share of AU$0.15 for next year compared to AU$0.35 last year. New Risk • Feb 09
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 3.0% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Earnings are forecast to decline by an average of 6.7% per year for the foreseeable future. High level of non-cash earnings (23% accrual ratio). Minor Risk Shareholders have been diluted in the past year (3.0% increase in shares outstanding). Major Estimate Revision • Nov 17
Consensus revenue estimates increase by 16% The consensus outlook for revenues in fiscal year 2024 has improved. 2024 revenue forecast increased from AU$363.7m to AU$422.7m. EPS estimate increased from AU$0.09 to AU$0.116 per share. Net income forecast to shrink 66% next year vs 32% growth forecast for Energy Services industry in Australia . Consensus price target up from AU$1.22 to AU$1.48. Share price rose 15% to AU$1.48 over the past week. Valuation Update With 7 Day Price Move • Nov 15
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to AU$1.50, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 10x in the Energy Services industry globally. Total returns to shareholders of 329% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at AU$2.16 per share. Price Target Changed • Nov 06
Price target decreased by 24% to AU$1.22 Down from AU$1.61, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of AU$1.22. Stock is up 71% over the past year. The company is forecast to post earnings per share of AU$0.089 for next year compared to AU$0.35 last year. New Risk • Aug 25
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended December 2022. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Earnings are forecast to decline by an average of 59% per year for the foreseeable future. High level of non-cash earnings (22% accrual ratio). Minor Risks Latest financial reports are more than 6 months old (reported December 2022 fiscal period end). Shareholders have been diluted in the past year (2.2% increase in shares outstanding). Announcement • Aug 21
MMA Offshore Limited, Annual General Meeting, Nov 10, 2023 MMA Offshore Limited, Annual General Meeting, Nov 10, 2023. Announcement • Jul 17
MMA Offshore Limited to Report Fiscal Year 2023 Results on Aug 29, 2023 MMA Offshore Limited announced that they will report fiscal year 2023 results on Aug 29, 2023 Reported Earnings • Feb 24
First half 2023 earnings released: EPS: AU$0.22 (vs AU$0.015 loss in 1H 2022) First half 2023 results: EPS: AU$0.22 (up from AU$0.015 loss in 1H 2022). Revenue: AU$182.9m (up 33% from 1H 2022). Net income: AU$81.6m (up AU$87.0m from 1H 2022). Profit margin: 45% (up from net loss in 1H 2022). Revenue is forecast to grow 9.9% p.a. on average during the next 3 years, compared to a 9.8% growth forecast for the Global Energy Services industry. Over the last 3 years on average, earnings per share has increased by 109% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Announcement • Feb 13
MMA Offshore Limited to Report First Half, 2023 Results on Feb 23, 2023 MMA Offshore Limited announced that they will report first half, 2023 results on Feb 23, 2023 Price Target Changed • Nov 16
Price target increased to AU$0.88 Up from AU$0.76, the current price target is provided by 1 analyst. New target price is 17% above last closing price of AU$0.76. Stock is up 99% over the past year. The company posted earnings per share of AU$0.093 last year. Recent Insider Transactions • Sep 21
Independent Non-Executive Director recently bought AU$71k worth of stock On the 15th of September, Sue Murphy bought around 99k shares on-market at roughly AU$0.72 per share. This transaction amounted to 99% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Recent Insider Transactions Derivative • Sep 08
MD, CEO & Director exercised options to buy AU$118k worth of stock. On the 6th of September, David Ross exercised options to buy 172k shares at a strike price of around AU$0.66, costing a total of AU$114k. This transaction amounted to 36% of their direct individual holding at the time of the trade. Since June 2022, David's direct individual holding has decreased from 475.59k shares to . Company insiders have collectively bought AU$151k more than they sold, via options and on-market transactions, in the last 12 months. Price Target Changed • Aug 26
Price target increased to AU$0.88 Up from AU$0.76, the current price target is provided by 1 analyst. New target price is 31% above last closing price of AU$0.67. Stock is up 89% over the past year. The company posted earnings per share of AU$0.093 last year. Announcement • Aug 23
MMA Offshore Limited, Annual General Meeting, Nov 09, 2022 MMA Offshore Limited, Annual General Meeting, Nov 09, 2022. Announcement • Aug 19
MMA Offshore Limited to Report Fiscal Year 2022 Results on Aug 25, 2022 MMA Offshore Limited announced that they will report fiscal year 2022 results on Aug 25, 2022 Announcement • Jul 28
MMA Offshore Limited (ASX : MRM) completed the acquisition of Subcon International Pty Ltd for AUD 8.4 million. MMA Offshore Limited (ASX : MRM) entered into an agreement to acquire Subcon International Pty Ltd for AUD 8.4 million on June 23, 2022. The purchase consideration, totaling AUD 8.4 million, will comprise AUD 4.2 million in cash, to be paid from existing cash reserves, with the balance of the consideration to be issued in MMA ordinary shares at the 60-day volume weighted average share price on completion. The share consideration will be subject to a 2-year escrow period. The current Subcon team will continue with the business including Subcon’s founder, Matthew Allen and Chief Executive Officer, Cameron Stirling who will both be instrumental in continuing to lead and grow the business under MMA’s ownership. Subcon’s personnel will be retained with certain key personnel subject to non-compete and nonsolicit obligations. Completion of the transaction is subject to a number of customary conditions precedent and is expected to occur in July 2022. Transaction is expected to be immediately EPS accretive.
MMA Offshore Limited (ASX : MRM) completed the acquisition of Subcon International Pty Ltd on July 28, 2022. Announcement • Jun 24
MMA Offshore Limited (ASX : MRM) entered into an agreement to acquire Subcon International Pty Ltd for AUD 8.4 million. MMA Offshore Limited (ASX : MRM) entered into an agreement to acquire Subcon International Pty Ltd for AUD 8.4 million on June 23, 2022. The purchase consideration, totaling AUD 8.4 million, will comprise AUD 4.2 million in cash, to be paid
from existing cash reserves, with the balance of the consideration to be issued in MMA ordinary shares at the 60-day volume weighted average share price on completion. The share consideration will be subject to a 2-year escrow period. The current Subcon team will continue with the business including Subcon’s founder, Matthew Allen and Chief Executive Officer, Cameron Stirling who will both be instrumental in continuing to lead and grow the business under MMA’s ownership. Subcon’s personnel will be retained with certain key personnel subject to non-compete and nonsolicit obligations. Completion of the transaction is subject to a number of customary conditions precedent and is expected to occur in July 2022. Transaction is expected to be immediately EPS accretive. Announcement • May 03
Wasco Engineering Group Limited agreed to acquire BATAM SHIPYARD FACILITY from MMA Offshore Limited (ASX:MRM) for $15 million. Wasco Engineering Group Limited agreed to acquire BATAM SHIPYARD FACILITY from MMA Offshore Limited (ASX:MRM) for $15 million on May 2, 2022. Proceeds from the sale will be used to strengthen the Company’s Balance Sheet. The transaction is expected to close on December 30, 2022. Price Target Changed • Apr 27
Price target increased to AU$0.72 Up from AU$0.64, the current price target is provided by 1 analyst. New target price is 24% above last closing price of AU$0.58. Stock is up 90% over the past year. The company is forecast to post a net loss per share of AU$0.022 compared to earnings per share of AU$0.0088 last year. Reported Earnings • Feb 28
First half 2022 earnings: EPS in line with expectations, revenues disappoint First half 2022 results: AU$0.015 loss per share (down from AU$0.09 profit in 1H 2021). Revenue: AU$137.3m (up 14% from 1H 2021). Net loss: AU$5.37m (down 135% from profit in 1H 2021). Revenue missed analyst estimates by 1.4%. Over the next year, revenue is forecast to grow 14%, compared to a 18% growth forecast for the industry in Australia. Over the last 3 years on average, earnings per share has increased by 35% per year but the company’s share price has fallen by 34% per year, which means it is significantly lagging earnings. Announcement • Feb 22
MMA Offshore Limited to Report First Half, 2022 Results on Feb 24, 2022 MMA Offshore Limited announced that they will report first half, 2022 results on Feb 24, 2022 Buying Opportunity • Feb 21
Now 20% undervalued Over the last 90 days, the stock is up 25%. The fair value is estimated to be AU$0.60, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 6.6% per annum over the last 3 years. The company has become profitable over the last year. Reported Earnings • Sep 01
Full year 2021 earnings released: EPS AU$0.009 (vs AU$1.04 loss in FY 2020) The company reported a decent full year result with improved earnings and profit margins, although revenues were weaker. Full year 2021 results: Revenue: AU$261.3m (down 4.3% from FY 2020). Net income: AU$2.42m (up AU$96.4m from FY 2020). Profit margin: 0.9% (up from net loss in FY 2020). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 46% per year, which means it is significantly lagging earnings. Breakeven Date Change • Jun 30
Forecast breakeven pushed back to 2023 The analyst covering MMA Offshore previously expected the company to break even in 2021. New forecast suggests losses will reduce by 71% per year to 2022. The company is expected to make a profit of AU$4.90m in 2023. Average annual earnings growth of 98% is required to achieve expected profit on schedule. Executive Departure • May 01
Independent Non-Executive Director has left the company On the 30th of April, Eva Howell's tenure as Independent Non-Executive Director ended after 9.2 years in the role. As of December 2020, Eva personally held only 115.53k shares (AU$35k worth at the time). A total of 2 executives have left over the last 12 months. Price Target Changed • Feb 27
Price target lowered to AU$0.57 Down from AU$0.89, the current price target is provided by 1 analyst. The new target price is 75% above the current share price of AU$0.33. As of last close, the stock is down 78% over the past year. Announcement • Feb 26
MMA Offshore Limited Secures Vessel Contract with TechnipFMC MMA Offshore Limited announced that the company has been awarded a vessel contract with TechnipFMC to provide tug and barge support for a major subsea installation project in Australia. Utilising a combination of both owned and chartered vessels, MMA will provide a fleet of 4 tug and barge sets to support the subsea installation works as well as 2 offshore positioning tugs. MMA will act as lead contractor and will subcontract to other vessel operators to provide the overall vessel requirements. All vessels involved with the works will be delivering equipment to the offshore field and will be operated under all relevant Australian requirements. The total contract value is in excess of AUD 20million. Offshore operations are scheduled to commence in fiscal year 2022 (in or about August 2021) and are due to be complete either at the end of the 2021 calendar year or early in 2022. Analyst Estimate Surprise Post Earnings • Feb 26
Earnings beat expectations, revenue disappoints Revenue missed analyst estimates by 0.01%. Earnings per share (EPS) exceeded analyst estimates by 302%. Over the next year, revenue is forecast to grow 3.1% while theEnergy Services industry in Australia is not expected to grow. Reported Earnings • Feb 25
First half 2021 earnings released: EPS AU$0.09 (vs AU$0.11 loss in 1H 2020) The company reported a decent first half result with improved earnings and profit margins, although revenues were weaker. First half 2021 results: Revenue: AU$119.9m (down 8.4% from 1H 2020). Net income: AU$15.5m (up AU$25.2m from 1H 2020). Profit margin: 13% (up from net loss in 1H 2020). Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has fallen by 48% per year, which means it is significantly lagging earnings. Is New 90 Day High Low • Feb 18
New 90-day low: AU$0.29 The company is down 9.0% from its price of AU$0.32 on 20 November 2020. The Australian market is up 7.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Energy Services industry, which is down 10.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is AU$0.87 per share. Price Target Changed • Feb 18
Price target lowered to AU$0.57 Down from AU$0.89, the current price target is an average from 2 analysts. The new target price is 97% above the current share price of AU$0.29. As of last close, the stock is down 81% over the past year. Price Target Changed • Feb 10
Price target lowered to AU$0.57 Down from AU$0.89, the current price target is an average from 2 analysts. The new target price is 75% above the current share price of AU$0.33. As of last close, the stock is down 79% over the past year. Announcement • Dec 18
MMA Offshore Limited Wins New Contract Awards MMA Offshore Limited announced that it has secured two new contracts for its Multi-Purpose Support Vessel the 'MMA Privilege'. The first contract is for the provision of accommodation and walk-to-work services to support FPSO shutdown operations in Côte d'Ivoire, West Africa. This contract is for a firm period of 138 days, including mobilisation and demobilisation, with a further 14 days in options. This contract commences in February 2021, with the vessel mobilising from Singapore in January 2021. The second contract is for the provision of light construction and accommodation/walk-to-work services in Brunei. This contract is for a firm period of 90 days, with a total of 70 days in option periods. This contract will commence in or around July 2021. These two contracts, with firm periods totalling 228 days, increase the Company's contracted revenue for fiscal year 2021 and fiscal year 2022 by an aggregate total of approximately AUD 8.0 million. Importantly, they secure utilisation for the 'MMA Privilege', one of larger vessels, with two premium clients for a material portion of the 2021 calendar year. Price Target Changed • Nov 27
Price target lowered to AU$0.09 Down from AU$0.12, the current price target is an average from 2 analysts. The new target price is 157% above the current share price of AU$0.035. As of last close, the stock is down 80% over the past year. Announcement • Nov 13
MMA Offshore Limited has completed a Follow-on Equity Offering in the amount of AUD 21.559813 million. MMA Offshore Limited has completed a Follow-on Equity Offering in the amount of AUD 21.559813 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 718,660,434
Price\Range: AUD 0.03
Discount Per Security: AUD 0.00135
Transaction Features: Subsequent Direct Listing Announcement • Nov 11
MMA Offshore Limited Announces Executive Changes MMA Offshore Limited announced that as part of the Board renewal program, MMA's current Chairman, Mr. Andrew Edwards, having served
on the Board for just under 11 years, has advised that he intends to retire both as Chairman and from the Board of Directors at the conclusion of the Company's 2020 Annual General Meeting. Non-Executive Director, Mr. Ian Macliver, has been designated as Chairman-elect by the Board. Announcement • Aug 27
MMA Offshore Limited Provides Earnings Guidance for the Fiscal 2021 MMA Offshore Limited provided earnings guidance for the fiscal 2021. Whist the company is fortunate to have a number of long-term contracts underpinning utilisation on a portion of the fleet, the company expects COVID-19 to continue to impact earnings through 2021 as restrictions on personnel movements and uncertainty in the oil and gas markets reduce the volumes of work being undertaken and overall spending. Announcement • Jun 22
MMA Offshore Limited(ASX:MRM) dropped from S&P/ASX All Ordinaries Index MMA Offshore Limited(ASX:MRM) dropped from S&P/ASX All Ordinaries Index