Multiheight Scaffolding Pte Ltd (Multiheight), Austin Energy (Asia) Pte Ltd (Austin) and Nordic Flow Control Pte Ltd (Nordic Flow Control), wholly owned subsidiaries of Mainboard-listed Nordic Group Limited have been awarded 4 contracts with value totalling approximately SGD 3.3 million.
Details are as follows:
1. Multiheight and Austin secured three contracts with value totalling approximately SGD 2
million to provide labour and materials to perform scaffolding and insulation works for
Chevron Carboxylate Project, Pfizer Milling Facility Project and SEA VAE Project. Initial
phases of the contracted works for Multiheight and Austin will commence in Q3 2015 and
these projects will continue up to Q3 2016.
2. Nordic Flow Control has been awarded a contract to supply Hydraulic and Pneumatic
Valve Control System to a Semi-Submersible Light Workover Unit, owned by Brazilian
company Etesco Construções e Comércio Ltda for Petróleo Brasileiro S.A (Petrobras).
The contract with a value of approximately USD 1 million (equivalent to SGD 1.3 million)
was awarded by Dalian Shipbuilding Industry Offshore Co., Ltd to Nordic Flow Control
with expected delivery of the Light Workover Unit by Q2 2016.
(Comment: Not clear if Austin & Multiheight jointly secured all 3 contracts, or otherwise.
The Nordic Flow Control contract looks like a breakthrough given the large value of US$1 m. As I understand it, contracts used to be about US$200K per vessel on average).
Share buyback activated with 434,400 shares bought back. Market talk is, the big boss is determined not to do share consol. Will the share buyback be powerful enuff to lift share price above 20 cents and keep it at that level?
Both buybacks and insider buys are interesting moves for investors to note. As far as Nordic is concerned, I believe the share price is not reflective of its intrinsic value. These actions are positives as long as they are not used to prop up share price.
I believe Nordic is doing it right for the interest of the group and shareholders.