Charles Lannon Keppel Corp Ltd. KEP-SP PAST TOP PICK Oct 01, 2014

Singapore Conglomerate. Largest manufacturer of certain marine products. They have a pan-Asian real-estate portfolio. A low risk wait to participate in the Asian growth. Just under 4% dividend.

Premier company in terms of offshore oil rig manufacturing. Active globally including Brazil. The big growth market is ultra deep water. Has increased dividend for 23 consecutive years.

Primary business is manufacturing offshore oil rigs and is best in breed. Headquartered in Singapore with some operations in the Philippines. Recently signed up a joint venture type of relationship with the Chinese so they could get access to that market. Companies have to pay them in advance to build their rigs which leads to a very, very strong balance sheet. The oil majors did make a lot of money last year so they are bringing back some of the Cap X spending which is slowing down the offshore oil rig market. Ultimately this is a 3-4 year supply management cycle that an oil major has to think about. Good track record of increasing dividends. Very cheap now.

The leader in the offshore oil rig market. The current big driver is going to be the ultra-deepwater market. Have a $14 billion backlog that gives them visibility up to 2019. Have increased the dividend for 23 consecutive years. Also, have a small property business that builds apartments across Southeast Asia. Good balance sheet and very good management.

(BNN shows the symbol as KPELF-PK, but my search through Globe & Mail and Bloomberg could find nothing. However, our site does have this under KEP-SP and they are both about oil rigs, so am presuming it is the same company.) A conglomerate that is active in the offshore oil reconstruction and ship repair market. They also have a property business. Has increased its dividend for 24 consecutive years. Good balance sheet and excellent management. A long-term story.

(Top Pick Apr 24/14, Down 12.62%) Off shore oil rigs. It is a 5 year story. They re-acquired a European oil rig asset company. This is an aging conglomerate story and he bought some last week.