Singapore’s listed shipping and maritime companies continue to rank poorly in terms of governance and transparency, according to an annual index.
Seatrium, which was rebranded from Sembcorp Marine in April 2023, was the highest-placed company on the Singapore Governance and Transparency Index (SGTI) in 38th place, but this was down from 24th place a year ago.
The SGTI looks to evaluate companies based on their corporate governance practices and disclosures, as well as the timeliness, accessibility and transparency of their financial results.
The sources of information for SGTI assessments include annual reports, websites, announcements on the Singapore Exchange, and investor relations’ email responsiveness.
Shipbuilder Penguin International was the next highest-placed maritime company at 61st, but this was also down from 12 months ago when it was ranked 34th.
The shipbuilder’s senior management and a private equity backer are currently attempting to take the company private on their second attempt.
Cosco Shipping International is one of the few companies to have shown year-on-year improvement moving up to 146th place against the 244th ranking in 2022.
Struggling OSV player CH Offshore has also risen up the ranks jumping from 264th place a year ago to 154th in the latest incarnation of the index.
However, the company faces being delisted from the Singapore Exchange after posting three consecutive years of financial losses.
Japanese handysize bulker specialist was another big decliner falling to 181st place compared with being as high as 63rd just 12 months ago.
Offshore player Marco Polo Marine may have the “best value CEO” in terms of his pay versus share performance, according to a local analyst but the company wallows down in 353rd place in the SGTI.
Another poor performer is China’s largest privately-owned shipbuilder Yangzijiang Shipbuilding, which has fallen from 316th place to 446th.
In the real estate investment trusts (REIT) and business trust sector, tanker owner First Ship Lease Trust (FSL Trust) moved down two places to 36th place.
Hong Kong container terminal operator Hutchison Port Holdings Trust (HPH Trust) saw its ranking inch up one place to 37th.
The SGTI is published annually by CPA Australia, the National University of Singapore (NUS) and the Singapore Institute of Directors.
The SGX says it has 50 maritime-related companies listed on its exchange with a total market valuation of around $22bn.
