Otto Marine (G4F.SG) +2.4% at $0.42 on increased revenue potential as shipbuilder expands into U.S. market via JV with US-based Surf Subsea to buy vessel worth US$55 million ($76.3 million) put up for sale by liquidator, says Dow Jones.

Otto will take 19.2% stake in JV, which will operate multi-purpose support vessel under 20-year charter agreement.

“It is now able to sub-charter out the multi-purpose support vessel and hence cut a slice of the lucrative US deep sea offshore market-something which many foreign offshore and marine players would love to but cannot do” as only US-flagged vessels can operate in US waters, says DMG, which has Buy call with $0.50 target.

Resistance tipped at current June high of $0.435.