Keppel Limited

[CityFarmer]

Keppel is preparing itself, on new opportunities arises from recent new MAS tightening regulation on asset managers? The "default" asset manager formed by sponsor, may not be necessary true anymore...

(not vested)

Keppel to consolidate and grow its asset management business

Keppel plans to consolidate its interests in business trust, REIT and fund management under
Keppel Capital and grow its asset management business.
...
http://infopub.sgx.com/FileOpen/MR%20-%2...eID=387061

What do you mean by that ? Thanks.

The recent tightening of Reits Manager regulations by MAS, has set a higher bar for Reits Manager. Sponsor's Reits Manager may not qualified, and external professional management service is needed. I have read the detail somewhere, but I lost the link.

(not vested)

[Contrarian]

Good point city farmer. You spotted something ... Isn't this external wing similar to what ARA asset management is about? Except that Keppel Land used to own Alpha.

It looks to me like Keppel Land and Keppel Capital are going to be separate units...

[donmihaihai]

Good point city farmer.  You spotted something ...   Isn't this external wing similar to what ARA asset management is about?  Except that Keppel Land used to own Alpha.  

It looks to me like Keppel Land and Keppel Capital are going to be separate units...

Still under keppel group = no change. Unless keppel is selling it away.

[Contrarian]

> Still under keppel group = no change. Unless keppel is selling it away.

Donmihaihai san, do you think they are planning to IPO this unit? Keppel are smart market capitalists :-)

[donmihaihai]

> Still under keppel group = no change. Unless keppel is selling it away.

Donmihaihai san, do you think they are planning to IPO this unit?  Keppel are smart market capitalists :-)

Let me see if I get the discussion right.

1st is external and internal manager. Dumping it into another unit within Keppel Corp doesn't change anything.
Next, IPO asset management unit is a different thing. Smart market capitalists? Perhaps. Smart owners doesn't sell their crown jewel without reason. IPO is selling a part. But well, Keppel is not managed by owners but by pro management.

[CY09]

http://www.straitstimes.com/business/com...eppel-reit

If i were Temasek, I will advise Keppel to pare down its stake in Keppel REIT in light of poor performance. It will still retain the lucrative fund mgmt revenue via Kep Land. Best is to sell 15% via private deals to insurers, then wait for crisis and issue a round of rights (which Kepland will oversubscribe) to shore up balance sheet

Strongly suggest they keep M1 as their cash cow to milk

[Bibi]

I prefer them to issue rights

Vested.

[testwrite]

I prefer them to issue rights

Vested.

whatever decision they took, it has been very bad for the shareholder and Singapore. They invested billions in such a narrow industry, use up so much resources, and it turns out, they only have 1 main "sketchy" customer. and now that all these are slowly unfolding, the past profit might not be there, and investment in these rig building might be impaired, going forward how much money is needed to maintain the company expense, shareholder lose money and jobs are lost. Will have been better use of all these investment if it have been invested in other industries.

so much for these high paying CEO and CFO. I expect some head to be drop, and not for them to try to continue to "strategise". the selling of MI, the REITS, rights issue, shows how opaque these people are, last week, when they are confidently presenting the result, they are still talking about dividend, high profits, showing great confidence, but they are not very transparent on how bad the situation is, I can imagine the retiree who invest their lifesaving, not only they are losing their savings,  no more money for this few years and they have to pay up for the rights. I think these people have to be more transparent, we are talking about livelihood of many people, not the few high paying manager there

in the finance industry they will have been fired, and gov are talking about clawing these traders bonus, but here, not only there are not fired, they continue to talk big

[CityFarmer]

I prefer them to issue rights

Vested.

whatever decision they took, it has been very bad for the shareholder and Singapore. They invested billions in such a narrow industry, use up so much resources, and it turns out, they only have 1 main "sketchy" customer. and now that all these are slowly unfolding, the past profit might not be there, and investment in these rig building might be impaired, going forward how much money is needed to maintain the company expense, shareholder lose money and jobs are lost. Will have been better use of all these investment if it have been invested in other industries.

so much for these high paying CEO and CFO. I expect some head to be drop, and not for them to try to continue to "strategise". the selling of MI, the REITS, rights issue, shows how opaque these people are, last week, when they are confidently presenting the result, they are still talking about dividend, high profits, showing great confidence, but they are not very transparent on how bad the situation is, I can imagine the retiree who invest their lifesaving, not only they are losing their savings,  no more money for this few years  and they have to pay up for the rights. I think these people have to be more transparent, we are talking about livelihood of many people, not the few high paying manager there

in the finance industry they will have been fired, and gov are talking about clawing these traders bonus, but here, not only there are not fired, they continue to talk big

I guess you are firing the wrong parties. The mulling of the divestment and right, is within the Temesek, not in the Keppel board.

Better to invest in other industries? Up to 2014, Keppel had distributed dividend about $2.14 per share, or close to $3.9 billion, excluding all those distribution in specie, which happened twice in 2012 and 2013. I am not sure it is a bad investment, with 5Y average ROE of about 20% till 2014.

(not vested)

[weijian]

I prefer them to issue rights

Vested.

whatever decision they took, it has been very bad for the shareholder and Singapore. They invested billions in such a narrow industry, use up so much resources, and it turns out, they only have 1 main "sketchy" customer. and now that all these are slowly unfolding, the past profit might not be there, and investment in these rig building might be impaired, going forward how much money is needed to maintain the company expense, shareholder lose money and jobs are lost. Will have been better use of all these investment if it have been invested in other industries.

so much for these high paying CEO and CFO. I expect some head to be drop, and not for them to try to continue to "strategise". the selling of MI, the REITS, rights issue, shows how opaque these people are, last week, when they are confidently presenting the result, they are still talking about dividend, high profits, showing great confidence, but they are not very transparent on how bad the situation is, I can imagine the retiree who invest their lifesaving, not only they are losing their savings,  no more money for this few years  and they have to pay up for the rights. I think these people have to be more transparent, we are talking about livelihood of many people, not the few high paying manager there

in the finance industry they will have been fired, and gov are talking about clawing these traders bonus, but here, not only there are not fired, they continue to talk big

Another hindsight bias-heavy complaint that almost got me laughing off my chair as I read.

Rewind the clock back to 2010. In the Gulf of Mexico, a certain BP cut corners and their oil rig blew up. The name of the oil rig was called Deep Horizon and it gushed out millions of gallons of oil. Fast forward a few months, a plan was devised to seal the leak. Cavalry was called in. Fast forward another few months, PM Lee proudly reminded Sporeans during National Day Rally of the contributions made by Keppel to stop the oil spill (and save the birds in the Gulf)

https://www.youtube.com/watch?v=Zxpg58OIFCs

There is a season for everything under the sun.