Rickmers Maritime Trust (B1ZU.SG) gained 4.1% to 38.5 cents following improvement in core 4Q09 operations, although thin volume suggests investors generally still wary of company’s financial health, considering maturity of US$130 million ($185 million) loan in April which Rickmers hasn’t been able to refinance as yet.
“While it is quite possible that RMT manages to resolve its debt and order book concerns, we continue to believe such a resolution may come at the expense of unit holders’ interests, for instance if RMT raises funds through a dilutive private placement,” says OCBC Investment Research, which has a “sell” call with 18 cents target.
