Seatrium Launches Share Buyback Program and Reverse Stock Split

Seatrium has initiated a S$100 million share buyback program alongside a reverse stock split of one share for every 20 shares. The stock split is set to go ex-entitlement on May 7, with the record date on May 8, aimed at reducing volatility and increasing market interest in Seatrium's listed shares.

CEO Chris Ong Leng Yeow highlighted the strategic review conducted last year, indicating Seatrium's advantageous position to benefit from deep customer relationships and operational scale. The company's net order book has surged to over S$16 billion, securing projects until 2030 and ensuring earnings visibility for years to come.

The share buyback program, funded by existing cash reserves, aligns with Seatrium's commitment to enhancing shareholder value. It follows the approved share purchase mandate, allowing repurchase of up to 2% of total issued shares, potentially extending beyond a year based on market conditions.

Seatrium's core business segments include oil and gas newbuilds, offshore renewables, repairs, and upgrades, emphasizing sustainable solutions and contributing to global energy transition and maritime decarbonization efforts.

Ong underscored Seatrium's investments in training, digitalization, and robotics for future-proofing the business. This includes AI-powered digital twin technology and partnerships with research institutions to explore innovative sustainable solutions.