KUALA LUMPUR (Jan 18): Public IB Research has valued Main Market-bound Serba Dinamik Holdings Berhad (Serba Dinamik) at RM2.05, pegged to an 11.0x PE multiple, based on our FY17F EPS of 18.6 sen.
In a note today, the research house said Serba Dinamik’s main activities include operations and maintenance (O&M) services and engineering, procurement, construction and commissioning (EPCC) works.
“Going forward, we expect growth to be driven mainly by its core activities, focusing on international markets such as the Middle East regions while leveraging on its expertise to expand into the power generation sector as an asset owner, contractor and operator.
“We are therefore valuing Serba Dinamik with a fair value of RM2.05 pegged to an 11.0x PE multiple, based on our FY17F EPS of 18.6sen.
“This implies an upside of 36.7% of the IPO price. The listing is scheduled for Feb 8, and is expected to raise approximately RM407.1 million from new issuance of 271.4 million shares,” it said.