KUALA LUMPUR: Wah Seong Corp Bhd shares rose in early trade on Monday, July 4 after it secured a US$45 million (RM136.78 million) contract from Australia Pacific LNG Pty Limited to provide pipeline coatings for the Australia Pacific LNG project in Australia.
At 9.05am, Wah Seong added three sen to RM2.42 with 5,000 shares done.
The contract secured by its pipe coating business unit on June 29 involved coating of over 700 km of pipes.
Maybank IB Research maintained its Buy rating on Wah Seong and said it was positive on the company's clinching of the AP LNG pipe-coating project and that it anticipate more of these to follow over the next few months.
'We are maintaining our forecasts. Wah Seong remains a Buy with a RM3.10 target price (14x 2012 EPS), which provides a 30% upside.
'Wah Seong is a proxy play to PETRONAS' domestic development programmes and worldwide gas, leveraging on Australia's multiple LNG project sanctions,' it said in a note July 4.
At 9.05am, Wah Seong added three sen to RM2.42 with 5,000 shares done.
The contract secured by its pipe coating business unit on June 29 involved coating of over 700 km of pipes.
Maybank IB Research maintained its Buy rating on Wah Seong and said it was positive on the company's clinching of the AP LNG pipe-coating project and that it anticipate more of these to follow over the next few months.
'We are maintaining our forecasts. Wah Seong remains a Buy with a RM3.10 target price (14x 2012 EPS), which provides a 30% upside.
'Wah Seong is a proxy play to PETRONAS' domestic development programmes and worldwide gas, leveraging on Australia's multiple LNG project sanctions,' it said in a note July 4.
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