Vard raised to ‘hold’ by DBS on diversification plans

SINGAPORE (May 13): DBS Vickers Securities is upgrading Vard Holdings to “hold” from “fully valued” as its diversification plan seems to be working.

In a May 13 report, analyst Suvro Sarkar says Vard has seen reasonable success so far in its business plan of entering new, non-oil & gas-related markets.

Orders for a stern trawler, 15 module carrier vessels, hull construction work for parent Fincantieri, and an LOI with Ponant for four expedition cruise vessels brings year to date contract wins to a substantial NOK6.2 billion ($1.05 billion), which far surpasses FY15’s total order wins of NOK3.5 billion.

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