KUALA LUMPUR (July 2): BIMB Securities Research has initiated coverage on Bintulu Port Holdings Bhd with a “Hold” rating at RM6.90 with a target price of RM6.56 and said Bintulu Port provides a complete range of logistics services in handling cargoes and containers and is currently the only export gateway for Malaysia’s biggest export revenue earner of LNG.

In a note today, the research house said it expects a reasonably steady FY15 and FY16 for Bintulu Port in tandem with the gradual completion of Samalaju Port that is expected to contribute about 6m tonnes of cargo for the first phase.

“We initiate our coverage on Bintulu Port with a target price of RM6.56 based on regional peers weighted PER of 20x over FY15 EPS.

“Thus we kick start our coverage of Bintulu Port with a Hold recommendation,” it said.