Hot stock: EMAS Offshore makes dismal secondary listing on SGX's mainboard

EZRA'S associated firm, EMAS Offshore, kicked off its secondary listing on the Singapore Exchange's mainboard on a dismal note, trading some 14 per cent below its initial public offer price.

At 3:35pm on Wednesday, the company previously known as EOC Ltd, had bid/ask at S$1.035/S$1.04 a share. Only 678,000 shares changed hands.

The wider market is also weak, as stock markets in the region are hit by worries about waning global growth after the International Monetary Fund cut its global economic growth forecasts for a third time this year.

The Singapore listing of EMAS Offshore, already listed on Norway's Oslo Stock Exchange, followed the completion of the consolidation of EMAS Marine into the group.

EMAS Marine is Ezra's offshore support services division, and Ezra had earlier approved a proposed consolidation with an aim to create one of Asia-Pacific's largest offshore services players.

EMAS Offshore, an accommodation and offshore production services firm, had offered 48.585 million new shares at S$1.21 each to raise estimated net proceeds of S$53.8 million.

Lee Kian Soo, executive chairman of EMAS Offshore Ltd, said: "The listing will support our fleet expansion and renewal plans, and boost our profile within the international investment community. We were among the first in Asia to develop deepwater capabilities and we will continue to leverage this first-mover advantage and our inherent innovating spirit to stay ahead of the curve."

The listing of EMAS Offshore brings the number of maritime and offshore oil and gas support services companies listed on the SGX to 61, with a total market capitalisation of S$61 billion.