Market Snapshot

Singapore stocks opened higher on Thursday. STI up 0.1%; Nio fell 4%; Singtel fell 1%; SIA, Sembcorp up 0.4%.

Stocks to Watch

SIA: The national carrier announced in its annual report on Wednesday that it paid its chief executive Goh Choon Phong S$7 million in remuneration for the latest financial year ended Mar 31. This a 13.5 per cent decrease from the S$8.1 million package he received in FY2024. SIA previously announced a profit-sharing bonus of 7.45 months for eligible employees in FY2025, marginally lower than the year-ago period, but higher than the 6.65 months for FY2023. Shares of SIA ended Wednesday at S$6.87, up 0.3 per cent or S$0.02.

SEMBCORP INDUSTRIES LTD: The company’s wholly owned unit Sembcorp Solar Vietnam has faced a delay in its acquisition of a 49-megawatt (MW) hydropower asset in Vietnam, according to a bourse filing on Wednesday. This is because the deal is pending government approvals that are expected to be disclosed by the end of the year. The venture was originally part of the group’s plans to acquire a 245 MW renewables portfolio in Vietnam, which was announced in November 2023. The counter closed 0.2 per cent or S$0.01 lower at S$6.84 before the news.

Keppel: The group has partnered Asian Infrastructure Investment Bank to facilitate up to US$1.5 billion worth of sustainable infrastructure investments and financing opportunities in the Asia-Pacific. The tie-up will last for an initial five-year period up to December 2030, and focus on funding infrastructure projects developed by Keppel and invested by its private funds. The projects will advance green infrastructure, connectivity and technology-enabled infrastructure, where areas of interest include power transmission and distribution, renewable energy, transportation and urban services. Its shares closed flat at S$7.40.

Cordlife: A partial offer from Medeze Treasury, a subsidiary of Thai-listed Medeze Group, for a 10 per cent stake in the private cord-blood bank has lapsed, having secured less than a 10th of the shares it needed to. The total number of shares owned, controlled or agreed to be acquired by Medeze Treasury amounted to 2.4 million, representing a 0.95 per cent stake, as at the close of the offer at 5.30 pm on Wednesday. The offer had been deemed unfair and unreasonable by an independent financial adviser previously, which recommended that shareholders reject it. Medeze Treasury would have needed 25.6 million shares for the offer to succeed. Its shares ended Wednesday flat at S$0.33.

CapLand India T: The trustee-manager on Wednesday announced that Clint has priced S$100 million worth of subordinated perpetual securities at a fixed rate of 4.4 per cent per annum. Net proceeds from the issuance will finance its debt repayment, business activities, acquisitions and general working capital. The perpetual securities are expected to be issued on Jul 2, and listed on the Singapore Exchange on or around Jul 3. Units of Clint ended Wednesday 3 per cent or S$0.03 higher at S$1.03.

Civmec: The construction engineering company announced on Thursday that it has entered into a binding agreement to acquire 100 per cent of the shares in Luerssen Australia from NVL Australia for a cash consideration of A$20 million (S$16 million). The purchase price will be funded entirely from the group’s existing cash reserves. In a company statement, the Australian shipbuilder noted that plant and equipment were valued at A$3.6 million. No external valuation was conducted for the acquisition. Shares of Civmec closed on Wednesday 1.2 per cent or S$0.01 higher at S$0.86.

ASL Marine: A fire which occurred at or around 2.15 pm (Indonesian time) on Tuesday at a Batam shipyard belonging to a unit of the shipbuilder killed four workers and injured five. It happened on board a floating storage and offloading vessel (FSO). The FSO was undergoing repair alongside one of the shipyard’s jetties. All the casualties and injured staff worked for ASL Marine’s subcontractor. Those injured are being treated at a hospital. Shares of ASL Marine ended Wednesday at S$0.06, up 3.5 per cent or S$0.002.

SG Local News

MAS, ABS Announce New Entity to Oversee Singapore’s Eight National Payment Schemes

Singapore announced the incorporation of a new entity that will administer and oversee the Republic’s eight national payment schemes, such as Fast, Giro, PayNow and SGQR.

The Singapore Payments Network (Span), which will be operational by 2026, will aim to strengthen the governance of both national and cross-border payment schemes, the Monetary Authority of Singapore (MAS) and The Association of Banks in Singapore (ABS) said on June 25.

It will also drive continuous innovation in the payments space and encourage active collaboration among key industry players.

The initial members of Span are MAS and financial institutions comprising Citibank, DBS Bank, HSBC, Maybank, OCBC, Standard Chartered Bank and UOB.

SIA CEO’s Annual Pay Down 13.5% to $7m Even as Airline Posts Record Earnings

Singapore Airlines (SIA) chief executive Goh Choon Phong saw his pay fall by 13.5 per cent to $7.01 million in the financial year ended March 31, when the flag carrier’s earnings reached a record high.

According to SIA’s annual report, released on June 25, Mr Goh’s total remuneration package comprised $1.46 million in basic salary, $3.12 million in bonuses and $2.29 million in shares, with the rest of more than $145,000 in benefits.

Mr Goh’s remuneration for FY2023-2024 was $8.1 million.