Marco Polo Marine plans reverse takeover for shipyard unit

By Romel S. Gurky

SGX-listed firm Marco Polo Marine Ltd. said it plans to spin off its shipyard business through a proposed reverse takeover transaction valued at up to S$139 million involving Catalist-listed Fuji Offset Plates Manufacturing Ltd.

Under the proposed deal, Fuji Offset Plates will acquire Marco Polo Shipyard Pte Ltd and MP Marine Pte Ltd, which own and operate the group’s shipyard business, including PT Marcopolo Shipyard in Batam, Indonesia.

The transaction includes a base consideration of S$120 million and deferred consideration of up to S$19 million tied to profit targets for the financial years ending September 2026 and 2027.

Marco Polo Marine said the consideration will be paid entirely through the issuance of new shares in the purchaser at S$0.701 per share. Upon completion, Marco Polo Marine is expected to hold about 74.1% of the enlarged entity, rising to as much as 76.8% if the full deferred consideration is issued in shares.

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The purchaser is expected to be renamed MPSE Ltd. after the transaction.

Marco Polo Marine said the move would unlock the intrinsic value of its shipyard assets and create a separately listed platform for future growth and capital raising. The company added that the structure would improve earnings visibility as shipyard revenue from intra-group projects would no longer be eliminated through consolidation.

Marco Polo Marine operates shipping and shipyard businesses across Southeast Asia, including offshore support vessel chartering and offshore wind support activities. Its Batam shipyard spans about 34 hectares and includes four dry docks capable of handling mid-sized and complex vessels.

Editing by Alexander Ginting