Broker Name: CGS International
Date of Report: March 11, 2026

Excerpt from CGS International report.

Report Summary

• Yangzijiang Shipbuilding (YZJSB) announced a fully cash-funded acquisition of a 10% stake in Poseidon Acquisition Corp., the parent of its key customer Seaspan, for US\$825.7m. The deal is expected to be about 6% accretive to YZJSB’s FY25 EPS, with an implied valuation of roughly 11x trailing P/E and 1.8x P/BV, considered reasonable by the broker.
• YZJSB’s strong net cash position is maintained post-acquisition, with no significant risk to its dividend policy. The investment supports vertical integration, order visibility, and yard strategy, while YZJSB remains rated “Add” due to robust earnings growth, a US\$22.4bn orderbook, and attractive valuation relative to global peers. Risks include order cancellations and higher steel costs.

Above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website: https://www.cgs-cimb.com