Monday, 21 April 2014

Maybulk: IPO of POSH (6)

First of all a correction. On April 2, 2014 Maybulk issued its prospectus to acquire more shares in POSH. In it were the financial numbers of POSH for the year 2013.

On April 8, 2014 Maybulk announced a deviation in its audited accounts for 2013 due to a lower profit of POSH. I assumed therefore that the profit as given in the documents on April 2 had to be adjusted downwards, but it turned out that those were already adjusted. I have amended the relevant blog postings.

Remains the question why Maybulk waited until April 8 with announcing the profit deviation when they knew about the difference already at least on April 2.

The prospectus for POSH IPO has been issued and can be found here.

A (very) good review can be found here.

A few additional issues I like to mention:

[1] Maybulk was not the only company that subscribed to POSH shares in 2008, there was one other company named Singa Star Pte Ltd.

It turns out that the company did exercise the Put Option, contrary to Maybulk (USD 8.125 is exactly the original paid price of USD 6.50 + 25%):

Who will be right and who will be wrong? I guess we have to wait to see how things unfold.

[2] From the financial statements we can see the amount of Fixed Assets of POSH:

And the Depreciation:

The question is, why has the Fixed Assets in 2013 increased by 35% compared to 2012 while the depreciation has (slightly) decreased?

[3] POSH is aggressively increasing its fleet, but utilisation rates seem to be dropping since 2012, for every category:

[4] Another issue is the Joint Ventures:

The Joint Ventures have total assets of USD 720 million, but are still booking a loss for the year? Revenue as percentage of Total Assets looks rather low.

[5] The Related Party Transactions of POSH are huge (in USD '000):

[6] The Other Operating Income, detailed:

How recurring are these? Given the PAT for POSH over these years (respectively 26M, 54M and 73M), these amounts seem to be very meaningful.

Friday April 25, 2014 POSH will start trading.


  1. Do you know a good blog for Malaysian IPOs similar to the Sing one linked?