IPO Analysis: Harbor Star Shipping Services (TUGS)



Should you take part in the initial public offering (IPO) of TUGS or Harbor Star Shipping Services Inc.?

No one can determine for sure if the price of TUGS will appreciate or depreciate after its IPO. In reality, there’s no one, ultimate recommendation as regards the performance of a stock’s IPO. But it does help to have guidance from the Philippines expert stock brokers!

Another useful source of information is PinoyInvestor, a premium stocks newsletter that consolidates stock picks, company analyses, and broker reports from five of the Philippines’ top stock brokers.

In this week’s issue, the PinoyInvestor Stocks Report offers a comprehensive analysis and recommendation on the upcoming IPO of Harbor Star Shipping Services Inc. (TUGS).

Here are basic information about the TUGS initial public offering.

Harbor Star Shipping Services Inc. (TUGS)

Harbor Star Shipping Services is the leading shipping services company in the Philippines offering harbor assistance, lighterage, towage, salvage, and other marine services. It has a fleet of 27 tugboats, one anchor handling tug supply, three barges, a cargo vessel and an oil spill response vessel. Harbor Star has operations in 12 ports nationwide. It serviced approximately 5,658 ship calls in 2012; 92% of which were foreign ship calls. The major ports that Harbor Star services are the Manila International Container Terminal (MICT), Bataan, Batangas, Cagayan de Oro and Davao ports.

Harbor Star or TUGS is offering 181.60 million shares priced at P1.88 per share. The expected capital to be raised is at least P341 million. P118.55 million is planned to be used to pay debt that was used to acquire an AHTS vessel. P99.68 million of the proceeds will be used to acquire new tugboats. Meanwhile, P45 million will be used to retire debt and the remaining P40 million will be used to acquire an LCT barge.

Should you invest in the TUGS IPO?

To learn more about the valuation, profitability, and financial condition of Travellers Hotel Group, sign up or login to PinoyInvestor to access this week’s Stocks Report. The report also contains the recommendation of Angping Securities as regards the RHHI IPO.

Here’s a preview of the issue on “Analysis of Upcoming IPOs in the Philippines”.

By the way, PinoyInvestor currently has an ongoing promo where you can get for FREE iPhone 5S, iPad, iPad Mini, Samsung Galaxy S4 and SM and Ayala Malls gift certificates.

Read it here: PinoyInvestor’s FREE iPhone, iPad, Gadgets Giveaway!

About the Author

PSEi support seen at 6,200 and 6,000 amid weaker Peso

In a not-so-surprising move, the U.S. Federal Reserve (Fed) yesterday raised interest rates by 75 basis points (bps) or 0.75% in a bid to tame rising inflation in the United States. This was the third consecutive 0.75% rate hike by the Fed, which brings the federal funds rate, the central bank’s benchmark interest rate, to ... Read more

Official SWIFT Code of BDO, BPI, Metrobank, Philippine banks

When sending cash remittances or wire transfer to a bank account in the Philippines (such as BDO, BPI, Metrobank, Landbank, DBP, etc.), you’ll surely need the SWIFT Code of the bank. Look no further because you can find all the SWIFT Codes you need in this list! Make sure you’re using the right bank code ... Read more
blank

How to Waive your Credit Card Annual Fee (BDO, BPI, Metrobank, RCBC, Citibank, UnionBank)

Without a doubt, one of the most annoying fees that credit cardholders have to pay is the annual fee. Majority of cardholders are familiar with this fee and majority of us likely pay this grudgingly year after year after year. In the case of my credit card with BPI (Bank of the Philippine Islands), I’m ... Read more
blank

Why Filipinos do not become business owners or entrepreneurs

For a majority of Filipinos, entrepreneurship does not seem to be a typical, expected path. This is not surprising, considering that in school, students are primarily taught to become employees after graduation. Students train for years to become staff workers, reporting to a supervisor, and just waiting to receive their wages or salaries every month. ... Read more
blank

My experience investing in Mutual Funds in the Philippines

I started investing in mutual funds when I was 22 years old. As an Overseas Filipino Worker (OFW) then, I was fortunate to be able to save some money at that young age because of my work abroad. One time while I was on vacation in the Philippines, I saw a large billboard in EDSA ... Read more
blank

Income Tax Tables in the Philippines (2022)

The Philippines’ new tax reform bill, known as TRAIN or Tax Reform for Acceleration and Inclusion, was signed into law on December 19, 2017 and its implementation began on January 1, 2018. What are the new income tax rates under the TRAIN law? How will TRAIN affect income taxes of individuals and corporations? How is the ... Read more
blank

PSE Stocks Performance under each Philippine President (1987-2021)

Did you know that Philippine stocks were able to achieve an astounding growth of 800% in a span of 30 years? From 1987 until 2018, the Philippine Stock Exchange index (PSEi) rose from 1,000 points to a peak of 9,000 points — generating a return of 800% over 30 years. (The PSEi is an index ... Read more
blank

SSL 2022: Salary Increases for Teachers, Nurses, Gov’t Employees

Good news to all government employees! There’s a new round of salary increases beginning January 1, 2022! Millions of employees of the Philippine government — including public school teachers, nurses and staff of government hospitals, and workers in local and national government agencies, etc. — will be getting an automatic salary adjustment this 2022 under ... Read more
blank

PSE Trading Hours in 2022: What time open, when closed?

Before you take the plunge into stock trading and investing, make sure you understand what stocks are and how the Philippine Stock Exchange (PSE) operates. Unlike other investments that are relatively safe, stock trading is risky and loss of money is a possibility. So before you deep dive into the exciting world of stock trading, ... Read more

Price Floor and Price Ceiling of PSE Stocks

Trading bands in the PSE come in two forms: Price Ceiling, or the upper price limit, and Price Floor, or the lower price limit.

2 thoughts on “IPO Analysis: Harbor Star Shipping Services (TUGS)”

  1. What?s Happening i’m a beginner to this, I stumbled onto this I’ve found It absolutely helpful and features helped me out loads. I am hoping to give a contribution & aid different users like its helped me. Great job.

    Reply

Leave a Comment