Broker: Maybank Research Pte Ltd
Date of Report: August 26, 2025
Marco Polo Marine: Taiwan Listing Set to Transform Valuation, Growth, and Offshore Wind Ambitions

Introduction: Marco Polo Marine Poised for Major Upside Amid Taiwan Listing Catalyst

Marco Polo Marine (MPM SP), a leading marine logistics operator in Southeast Asia, is capturing investor attention with its strategic pivot towards the booming offshore wind sector and a planned Taiwan bourse listing for its subsidiary, PKR Offshore (PKRO). This report—issued by Maybank Research Pte Ltd on August 26, 2025—highlights how these developments could drive a major re-rating in MPM’s valuation, unlock faster growth, and deliver robust financial performance.

Key Investment Highlights

• BUY recommendation maintained with a target price of SGD0.09, representing a 34% upside from the current share price of SGD0.067.
• MPM’s 49%-owned subsidiary, PKR Offshore, is preparing for a Taiwan listing by 3Q26. Taiwan-listed peers trade at 20x+ P/E, versus just 10x in Singapore, potentially boosting MPM’s valuation from its current 8.4x FY26E.
• Secured a maiden SGD5 million ship repair contract for its new Dry Dock 4 and a 3-year comprehensive agreement with Cyan Renewables, adding recurring revenue streams.
• Financial performance expected to strengthen in 4QFY25E and FY26E, as MPM pivots further into serving offshore wind farms.

Strategic Moves: Taiwan Listing and Offshore Wind Pivot

MPM’s upcoming Taiwan listing for PKRO is a game-changer. By positioning PKRO at the heart of Asia’s most ambitious offshore wind development market, MPM aims to:

• Raise capital at superior valuations
• Expand its fleet rapidly to meet surging demand
• Secure loans at lower rates, reducing financing costs

Taiwan-listed marine peers are trading at over 20x P/E, while Singapore peers average approximately 10x. This disparity gives MPM substantial room for a valuation uplift post-listing.

New Contracts: Dry Dock 4 and Cyan Renewables

MPM recently secured a SGD5 million ship repair contract for its state-of-the-art Dry Dock 4, scheduled to run for two months from the end of August. This facility is expected to positively impact 4QFY25E and FY26 earnings.
The company also landed a 3-year agreement with Cyan Renewables, a portfolio company of Seraya Partners. MPM will provide ship repair, maintenance, and conversion for Cyan’s offshore wind fleet, building a stable, recurring revenue base critical for long-term growth.

Valuation and Discount to RNAV: A Laggard Play

Despite its robust growth prospects, MPM trades at a 30-40% discount to its RNAV, making it a compelling laggard play among Singapore’s small and mid-sized companies (SMIDs).

Company Overview: Marco Polo Marine

MPM is an established marine logistics operator in Southeast Asia, renowned for its expertise in chartering, building, converting, maintaining, and repairing vessels. Its operational pivot from oil & gas (O&G) to offshore wind has enhanced its growth profile, as regional demand for wind farm support vessels surges.

Price Performance and Shareholder Structure

• Current Share Price: SGD 0.067
• Target Price: SGD 0.09 (+34% upside)
• Market Capitalization: SGD 246.8 million / USD 192 million
• Free Float: 68.4%
• Major Shareholders:
  • Apricot Capital Pte Ltd (16.2%)
  • Penguin International Ltd (8.1%)
  • Nautical International Holdings Ltd (3.8%)

Financial Performance and Metrics

MPM’s financials highlight an impressive turnaround, with consistent net cash positions and improving margins. The following table summarizes key financial and operational metrics:

Value Proposition: MPM’s Growth Story

MPM is leveraging strong demand from both O&G and renewables for its chartering and ship repair services. After restructuring in 2017, the company is now capitalizing on:

• Increasing vessel charter rates and utilization (from 50-60% to 70-80% in FY23)
• Strong net cash generation from operations
• New vessel launches, particularly focused on offshore wind farm support
• Rising dividends as profitability improves

The new CSOV (Commissioning Service Operation Vessel) is expected to contribute 15-20% NPAT growth YoY in FY25E.

Price Drivers and Risks

• Major share price drivers include oil price movements, turnaround to profitability, rising charter rates, and vessel utilization increases.
• Upside factors:
  • Higher charter rates and vessel utilization could boost NPAT by 30% YoY in FY24E.
  • New CSOV contributions and long-term contracts may drive acquisitions and expansion.
  • Shipyard capacity expansion to meet rising repair demand.
• Downside risks:
  • Global recession or slowdown impacting vessel demand and rates
  • Oil price declines affecting sentiment
  • Geopolitical tensions (e.g., China-Taiwan conflict) affecting operations

Peer and Sector Analysis: Other Companies Mentioned

• Cyan Renewables: A Singapore-based offshore wind vessel owner, not publicly listed, portfolio company of Seraya Partners.
• Vestas (VWS CPH): Not rated in this report, but cited as a key wind farm customer in MPM’s 3-year CSOV take-up.

Definitions and Abbreviations

• SMIDs: Small and mid-sized companies
• CTV: Crew Transfer Vessel
• CSOV: Commissioning Service Operation Vessel
• O&G: Oil & Gas

Conclusion: BUY Rating Reaffirmed – MPM Set for Re-Rating

Maybank Research reaffirms its BUY rating and SGD0.09 target price for Marco Polo Marine, citing strong positive catalysts from the Taiwan listing, new contracts, and sector tailwinds. As MPM pivots to offshore wind and builds out its service and vessel fleet, investors are well-positioned to benefit from significant upside.

Contact Details and Broker Coverage

Maybank Research Pte Ltd 50 North Canal Road, Singapore 059304 Tel: (65) 6336 9090
For further inquiries or investment strategies, reach out to the Maybank research team or refer to their listed analysts for sector-specific expertise.

Investment Ratings Definition

• BUY: Expected return above 10% in the next 12 months (including dividends)
• HOLD: Expected return 0% to 10% in the next 12 months
• SELL: Expected return below 0% in the next 12 months

Marco Polo Marine stands at the threshold of transformation—investors should closely monitor its progress as it unlocks new growth and valuation potential in Asia’s offshore wind and marine logistics sector.