Acquired on 30 April 2008, Sea Deep Shipyard Pte Ltd (Sea Deep) is a wholly owned operating subsidiary of Baker Technology Limited (Baker Tech). It operates at No. 6 Pioneer Sector 1, a waterfront land facing Southern Tuas Basin, which has a facility area of 335,000 sq feet.
It is principally engaged in the design and construction of a wide range of equipment and components used in the offshore environment.
Sea Deep’s products and services include:
•Offshore Pedestal Cranes
•Anchor Winches
•Skidding Systems
•Steel Products & Component Fabrication
•Conversion/Refurbishment of Jacking System
•Raw Water Tower Structure Design
Baker Tech has market presence in China, the Middle East, Asia and USA.
Baker Engineering Pte. Ltd. was incorporated in May 2013 as a wholly-owned subsidiary of Baker Technology.
Baker Engineering will complement and add a new dimension to Baker Technology’s core business segment of designing and fabricating offshore marine equipment.
Operating out of a new premises in Jurong which includes an office building and workshop facility, Baker Engineering will serve to increase the Group’s presence globally.
The strike steel ceremony marking the construction of the BEL320-4R200S Liftboat (Hull No: A3001) was held at Baker Engineering’s yard in Singapore on 7 November 2014.
The BEL320-4R200S is the first in a line of state-of-the-art liftboats designed by BEL Design Pte. Ltd., a wholly-owned subsidiary of Baker Engineering. Baker Engineering was pleased to welcome staff members, personnel from ABS and well-wishers to witness the steel cutting ceremony on this exciting day. Mr. Tan Wee Lee, Managing Director of Baker Engineering commented that “this is a significant milestone for Baker Engineering as we believe that this state-of-the-art liftboat design is what the industry needs”
When it comes to actually doling out the cash, Baker Tech has also proven to be no slouch. For the period of FY2012 to FY2015, dividends paid and declared totaled about S$148 million. This includes FY2012 and FY2013, when the company distributed S$132 million in total to shareholders, funded partially by proceeds from disposals of York Transport, PPL as well as Discovery Offshore. It has also paid no less than 2.5 S cts per share in dividends (adjusted for the 5 to 1 share consolidation in 2016) since FY 2008. By comparison, the company's shares currently trade at just S$0.555 for a market capitalisation of S$112.6 million.
Being in the oil and gas services industry, Baker Tech has not been spared the negative sentiments permeating from Swiber’s initial winding-up announcement after market closed on 27 July 2016. Over the next 7 trading days that followed, Baker Tech’s share price plunged 14%. Although other oil and gas services counters such as Ezra (-23%), Ezion (-12%) and Swissco (-25%) experienced similar sharp declines, Baker Tech stands out as it has a much stronger balance sheet. While the aforementioned oil and gas services companies all sported high gearing levels, not only is Baker Tech debt free but it also has a cash pile of S$113.2 million in addition to another S$7.8 million in corporate bond holdings. This gives it a net cash backing of S$0.558 per share, slightly higher than its last traded price of S$0.555. Adding the corporate bond holdings will give it a mostly liquid asset backing of almost S$0.596 or a 7% premium over its current share price.
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