'Neptune rules subsea niche'ABM AMRO has initiated coverage of...

'Neptune rules subsea niche'

ABM AMRO has initiated coverage of Neptune Marine Services with a buy recommendation and a target price of 67c

The broker said Neptune was emerging as one of Australia's leading providers of integrated engineeing solutions to the international oil and gas,marine and renewable energy industries
Neptune's key advantage is its patented permanent underwater welding technology,NEPSYS. The company is targetting the high margin,lucrative global subsea oil and gas sectors.Over the past 18 months Neptune has grown by making eight acquisitions to service the subsea market.
Acording to ABN AMRO,if Neptune's management delivers on its promise to integrate its acquisitions and report strong organic growth,the the stock is likely to be rerated.

Neptune lost 1c to 48.5c