KUALA LUMPUR: MISC Bhd's proposed RM7.31 billion acquisition of Yinson Holdings Bhd could mark a major expansion of its offshore business, giving the shipping and energy solutions group access to a fleet of 11 offshore production and storage vessels and a US$19.3 billion contracted revenue backlog.
The proposed deal offers MISC an opportunity to strengthen its floating production, storage and offloading (FPSO) capabilities, broaden its international footprint and tap into potential operational synergies, analysts said.
However, they cautioned that the strategic gains would come with higher borrowings, increased gearing and modest, or potentially negative, near-term earnings impact.
RHB Research analyst Lee Yun Leon views the acquisition as strategically positive, citing opportunities for commercial collaboration and greater exposure to key offshore markets.
