This Successful Turnaround Is Under 3x Free Cash Flow

Good morning,

Today we’re looking at a business the market has largely written off — not because it’s broken, but because it’s spent years fixing itself.

This is an offshore services company that owns a small, specialised fleet of mission-critical assets. Those assets are highly utilised, throwing off real cash, and contracted years into the future. And yet, the equity trades as if the business is one bad oil price away from trouble.

We don’t think that’s true. As debt falls and interest costs fade, cash flow is quietly shifting from lenders to shareholders.

Below the paywall, we break down the key drivers of this opportunity, what has changed and why the risk:reward is as attractive as ever…