Kenanga Research raised its target price for UMW Holdings Berhad to 12.53 ringgit per share from 12.37 ringgit after the firm’s oil and gas drilling unit won a $157.68 million contract.
Kenanga said in a research note on Thursday that UMW’s earnings for the financial years 2013 through 2015 are likely to be higher by 1.0-1.3 percent due to the contract win.
UMW Standard Drilling Sdn Bhd won a three-year contract for the provision of a jack-up drilling rig from Petronas Carigali Sdn Bhd, a unit of Malaysia’s national oil company Petroliam Nasional Berhad.
Shares in UMW Holdings were trading down 0.15 percent at 13.36 ringgit while the benchmark index was up 0.31 percent at 1701.46.
Reporting by Siva Sithraputhran in Kuala Lumpur; Editing by Jijo Jacob siva.sithraputhran.thomsonreuters.com. Reuters Messaging: Siva.firstname.lastname@example.org