Growing from Strength to Strength - Celebrating 50 years 26 Nurturing future - Keppel Corporation
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Issue 4 / 2018
www.kepcorp.com/ekeppelite
Celebrating
50 years 26
Nurturing future
leaders 42
Doing well,
doing good 46
Growing from
Strength to Strength
MCI (P) 042/01/2018
Contents
2
26 34
45 52
SUSTAINING GROWTH Keeping it cool 20 Topping off The Podium West Tower 40
Seeding growth 4
Keppel O&M secures new contracts 21 In memory of Lim Kei Hin
Delivering on strategy 8
Strengthening proposition 22 EMPOWERING LIVES
In conversation 11 Enhancing competencies 41
Pooling expertise 23
Expanding portfolio 13 Nurturing future leaders 42
Extending track record 24
Driving operational excellence Keppelites Around the World
Seizing opportunities Growing with an urbanising China 44
Stable distributions 14
Advancing LNG solutions 25 Majulah Singapura 45
Growing footprint in Sydney
SPECIAL FOCUS NURTURING COMMUNITIES
Pursuing growth 15 Celebrating 50 years 26 Keppel Volunteers
Doing well, doing good 46
Deepening partnership 16 Making a difference in China 32
Engaging retail shareholders GETTING TO KNOW YOU
Celebrating Tianjin Eco-City’s 34 Spotlight on: Louis Lim 50
Keppel Corporation bolsters 17 10th year milestone
leadership BACK PAGE
Hallmarks of excellence 36 Strategic initiatives 52
First commercial development for 18
Keppel Land in India Green pioneer 37
Expanding into Nanjing HSEMATTERS
Taking Innovation in HSE to 38
At the helm 19 the next level
Sustaining Growth 3
Editor’s Note
Editorial Team
Dear Readers, Editorial Advisor
Ho Tong Yen
Keppel Corporation has grown from strength to strength over the last 50 years – regularly Editor
transforming ourselves to meet changing needs, while remaining focused on creating Sue-Ann Huang
value for all our stakeholders. The company celebrated its Golden Jubilee with over
Copy Editors
600 stakeholders at an anniversary Gala Dinner at Shangri-La Hotel on 3 August 2018. Guo Xiaorong, Kevin Ho
Singapore’s Prime Minister, Mr Lee Hsien Loong, was the Guest-of-Honour at the Gala
Editorial Team
Dinner. In his speech, Prime Minister Lee commended Keppel for turning adversity into Ana Luisa Cruz, Ang Lai Lee,
opportunity, looking outward and breaking new ground in external markets, businesses Ariel Tee, Brian Lee, Casey Chiang,
Donald Sng, Eileen Tan,
and technologies. Prime Minister Lee also expressed confidence in Keppel’s ability to thrive
Elizabeth Widjaja, Emmeline Khoo,
in a rapidly changing world (see pages 26 to 31). Fiona Aw, Frances Teh,
Glenda Yang, Grace Chia,
Han Sufen, Hoo Yao Lin,
The company also held a commemorative dinner in Beijing on 31 August 2018, which Ivana Chua, Lee Wan Jun,
was attended by government officials, business partners, customers, senior management Liang Hui Hui, Ong Wen Qi,
Razali Maulod, Roy Tan,
and staff in China (see pages 32 and 33).
Serena Toh, Tang Yibing,
Tay Jia Wei, Teri Liew, Tracy Pham,
As we celebrate this milestone, it is timely for Keppelites to reflect on what Keppel must Woon Pek Yong, Yolanda Guo
do to build on our track record and achieve the company’s mission to deliver solutions
for sustainable urbanisation profitably, safely and responsibly. Please mail your correspondence to:
Group Corporate Communications
– Keppelite Editor
In this issue of Keppelite, we share new developments at Keppel, as well as ways in which Keppel Corporation Limited
the company is taking steps to evolve and stay relevant - be it expanding into new sectors, 1 HarbourFront Ave, #18-01
Keppel Bay Tower
such as senior living, or embracing innovations in various fields, including harnessing Singapore 098632
technology for green buildings and safety solutions (see pages 37 to 39).
Email: keppelgroup@kepcorp.com
Website: www.kepcorp.com/ekeppelite
Keppel recognises that good corporate citizenry is essential to success and is committed
to make a positive impact in the communities where it operates. To commemorate its Keppelite is a publication of Keppel
Corporation, and is published
anniversary, Keppel made a $10 million donation to the Institute of Technical Education quarterly by the Group Corporate
to promote education for financially disadvantaged students (see page 28). The company Communications Division. All
rights reserved. Permission from
also launched a new partnership with the China Foundation for Poverty Alleviation (see
the publisher is required for
page 32), while Keppelites across the Group rallied behind a range of worthy causes reproduction by any means in
during Keppel Community Month in August (see pages 46 to 49). whole or in part.
We hope that this issue of Keppelite will inspire you and seed ideas on how you can Printed in Singapore by
Image Printers Pte Ltd.
contribute to Keppel’s growth story. We wish you an enjoyable read.
Keppelite Editor
Keppelite I Issue 4 / 2018
Sustaining Growth
4 Sustaining Growth
Seeding growth
Keppel continued to deepen its value proposition as a solutions provider for
sustainable urbanisation as it develops new growth engines. Mr Loh Chin Hua, CEO
of Keppel Corporation discussed the Group’s strategic initiatives and long-term
growth plans at the Company’s 3Q & 9M 2018 results webcast. Keppelite reproduces
his speech.
This has been an eventful FINANCIAL net profit of $2 million in 2017, excluding the projects
quarter for Keppel, as we PERFORMANCE 3Q 2018, bucking three for Sete Brasil.
launched several initiatives For 9M 2018, we achieved consecutive quarters of
to grow our business as a a net profit of $809 million, losses. Expanding its involvement
provider of solutions for 18% higher compared to in the LNG space, Keppel
sustainable urbanisation. the same period in 2017, H o w e v e r, t h e D i v i s i o n O&M has signed a
These include our entry underpinned by stronger continued to suffer a net Technical Assistance and
into senior living, contributions from the loss of $38 million for License Agreement with
expanding our assets Property and Infrastructure 9M 2018, mainly due to lower Gaztransport & Technigaz
under management into divisions, which more than work volume and our share (GTT) to jointly market LNG
e d u c a t i o n - re l a t e d re a l offset losses incurred by of associated companies’ solutions leveraging GTT’s
estate and the retail sector the Offshore & Marine losses. At the operating level, membrane containment
in Australia, extending our (O&M) and Investments the O&M Division achieved s y s t e m s a n d K e p p e l ’s
China property footprint divisions. a profit of $20 million for expertise in specialised
into Nanjing, among others. 9M 2018, on the back of shipbuilding and LNG
Economic Value Added our rightsizing efforts and solutions. Keppel O&M has
I n S e p t e m b e r, w e a l s o was $384 million. On an reduced overheads. also delivered its second
announced our pre- annualised basis, our Return dual-fuel LNG tug, this time
conditional voluntary on Equity was 9.3%. We In 9M 2018, Keppel O&M to Maju Maritime, with a
general offer, together with achieved a free cash inflow recognised revenues perfect safety record.
Singapore Press Holdings of $828 million in 9M 2018. amounting to $1.4 billion.
(SPH), to gain majority Our net gearing was 0.41x The Division is also working We are seeing more enquiries
control of M1. We also at end-September 2018, hard to replenish its for scrubber retrofits which
announced a scheme of only slightly higher than the orderbook, and has secured we anticipate will increase
arrangement to privatise 0.40x at end-June 2018. This additional contracts totalling as the IMO’s 2020 deadline
Keppel Telecommunications was despite having paid out $1.4 billion in the year to date, for the implementation of
& Transportation (Keppel $272 million in interim and more than the $1.2 billion the 0.5% sulphur cap on
T&T), to further simplify special dividends in August, of new orders secured in marine fuels approaches.
our corporate structure, and the one-off payment the whole of 2017. These Keppel Shipyard completed
allow more efficient capital of $251 million in fines to include contracts for two Singapore’s first Very Large
allocation and better align the Brazilian authorities as newbuild Liquefied Natural Crude Carrier (VLCC)
Keppel T&T’s interests with part of the global resolution Gas (LNG) carriers and the scrubber retrofit in 3Q 2018
the rest of the Group’s. reached by Keppel Offshore conversion of a LNG carrier and we have more projects
& Marine (Keppel O&M) to a Floating Storage and in the pipeline.
These are long-term last year. Re-gasification Unit.
initiatives, which would PROPERTY
further expand and grow OFFSHORE & MARINE As at 30 September 2018, O u r P ro p e r t y b u s i n e s s
the Group’s earnings and Despite the challenging Keppel O&M’s net orderbook performed well, achieving
position us for long-term operating environment, our was $4.4 billion, compared to a net profit of $764 million
growth. O&M Division registered a $3.9 billion at end-December for 9M 2018, which is an
Keppelite I Issue 4 / 2018
Sustaining Growth 5
not include the 11,000 units Environmental Infrastructure
which were sold en bloc and Infrastructure Services.
when we sold our projects
in Zhongshan and Shenyang. The construction of Keppel
Marina East Desalination
We expect to recognise profits Plant has been progressing
from the sale of some 7,240 well with over 50%
units of overseas homes completed. The plant is on
worth about $2.4 billion, target to achieve commercial
to be recognised upon operation in early-2020.
completion, from 4Q 2018
through 2022. In October 2018, Keppel
Seghers secured a contract to
Keppel Land China’s collaboration with Gemdale Corporation marks the company’s first foray In our residential landbank, supply technology solutions
into Nanjing and further expansion in the Yangtze River Delta Region
we have about 50,000 worth over EUR 70 million
homes, of which about to Australia’s first waste-to-
increase of 110% year on l a r g e s t s h a re h o l d e r o f 15,000 units are ready for energy plant which is located
year, due mainly to the en Nam Long, a leading launch from now till end- in Kwinana. The facility will
bloc sales of development affordable housing 2020. feature Keppel Seghers’ air-
projects, the gain from developer in Ho Chi Minh cooled grate and vertical
divestment of our stake City, with an increased stake U n d e r o u r c o m m e rc i a l boiler, which are designed
in a commercial project in of approximately 10%, portfolio, we now have about to achieve efficient energy
Beijing, as well as fair value following the conversion of 1.5 million square metres of recovery and operational
gain on Nassim Woods. bonds issued by Nam Long. gross floor area (GFA), of reliability.
which about two thirds are
Keppel continues to In Bangalore, India, Keppel under development. As announced by Singapore’s
strengthen our collaboration Land has deepened its Energy Market Authority,
with strategic partners to collaboration with reputable INFRASTRUCTURE the nationwide launch of
capture growth opportunities Indian property developer Our Infrastructure Division Open Electricity Market will
in the region. Puravankara by forming a achieved a net profit of be rolled out progressively in
joint venture to acquire a $121 million, up 25% four zones from November
In China, Keppel Land China prime 3-hectare site for a y e a r o n y e a r, d u e t o
formed a joint venture with commercial development. steady contribution from Continues on page 6...
leading Chinese developer, The site is located next to
Gemdale Corporation, to a mass rapid transit station
develop a residential project and a mixed-use precinct
in Nanjing. The collaboration comprising the World Trade
marks Keppel Land’s further Centre, a well-established
expansion in the Yangtze location that has attracted
River Delta as well as its many MNCs and technology
first foray into Nanjing, a firms.
promising market which
continues to see strong In 9M 2018, our Property
demand for premium Division sold about 3,180
housing. Phase One of the homes, achieving a total
project is expected to be sales value of about $1.4
launched for sale in the billion. These include 1,830
fourth quarter of this year. homes in China, 200 in
Vietnam, 230 in Indonesia,
In Vietnam, Keppel Land 740 in India and 150 in In 9M 2018, Infrastructure Services continued to contribute steadily to the Group’s recurring
will become the second Singapore. These figures do income
Keppelite I Issue 4 / 2018
6 Sustaining Growth
...continued from page 5.
2018 to May 2019. With
17 years of experience in
the Singapore electricity
retailer market, Keppel
Electric is well positioned
to offer innovative and
competitive electricity plans
to consumers.
We are also entering new
markets for our data centre
business. Keppel, through
the Alpha Data Centre Fund
(Alpha DC Fund) and Keppel
Data Centres, has signed
conditional agreements with
the Salim Group to jointly
develop and operate a high-
availability data centre in
Bogor, about 35 kilometres
The Hacienda at the River (pictured) located in Tucson, Arizona is one of the 52 senior housing communities currently managed by Watermark
from Jakarta.
INVESTMENTS RMB 10,500 and RMB 6,700 Retirement Communities, fund will seek to invest in
Our Investments Division respectively. However, land as well as 50% of the preschool and early learning
registered a net loss of is sold by SSTEC based minority interests held by real estate assets in the Asia
$38 million in 9M 2018, due on total land area, and the owners of Watermark Pacific region. These real
to our share of losses from the recent land prices of in some retirement estate assets will then be
associated companies. RMB 105 million per hectare communities managed by leased to MindChamps or its
and RMB 166 million per Watermark. With assets related entities under long-
Keppel Capital continued hectare are comparable to under management (AUM) term leases.
to contribute steadily to the those of land plots sold in of US$2.7 billion, Watermark
Group, although earnings the past two years. Profit is ranked among the top In Australia, Keppel Capital
from our asset management from the sale of one plot 15 largest senior living has entered into an MOU with
business were slightly lower has been recognised, while operators in the country. This Vicinity Centres, a leading
due to higher expenses for the other will be recognised is a strategic move by Keppel Australian retail property
growth initiatives and lower later this year. to expand into this new group, to establish a new
one-off performance fees. growth sector, leveraging private fund. The proposed
It has been an active quarter Watermark’s deep expertise fund intends to invest in
In the Tianjin Eco-City, two for Keppel Capital as our and agile business model. an initial portfolio of up to
residential land plots were t e a m s w o r k e d h a rd a t A$1 billion of Australian
sold by our joint venture, expanding into new markets Keppel Capital is also looking retail properties currently
S i n o - S i n g a p o re T I a n j i n and asset classes under to expand into education real owned by Vicinity Centres,
Eco-City Investment and management, harnessing estate assets, and has signed who has a fully integrated
Development Co., Ltd. the capabilities of the Keppel a non-binding Memorandum asset management platform
(SSTEC), in 3Q 2018. Due Group. of Understanding (MOU) and A$26 billion in retail
to the Tianjin government’s with MindChamps to assets under management.
property market cooling We have entered into a establish a new private fund,
measures, home prices have conditional equity purchase with an initial target fund size Our listed REITs have also
moderated, and the two agreement to acquire a 50% of $200 million. With Keppel been expanding their
plots achieved per square stake in leading US senior Capital and MindChamps portfolios. In Australia,
metre GFA prices of about living operator, Watermark as sponsors, the proposed Keppel DC REIT is enlarging
Keppelite I Issue 4 / 2018
Sustaining Growth 7
its data centre footprint with gas, electricity and urban Group. Keppel can leverage In the meantime, subject
a new shell and core data logistics. Incorporating M1’s M1’s digital platform for to the approval of the Info-
centre, which will be built in capabilities and two million services provided by Keppel’s communications Media
the Macquarie Business Park recurring subscribers in a businesses. Development Authority, we
precinct in Sydney. Over in combined digital platform are offering a compelling
the US, Keppel KBS US REIT is would provide opportunities SPH has also spoken of premium to minority
capitalising on strong leasing for synergies and cross selling opportunities to leverage shareholders of M1, who
demand from the technology of services. The transaction is M1’s mobile platform to offer are not prepared to wait
and professional services earnings accretive, net of on demand and ready digital and bear the related risks,
sectors in Seattle, with the financing costs, and will content to better serve SPH to realise their investment in
proposed maiden acquisition expand Keppel’s earnings customers, so there would M1 upfront.
of the Westpark Portfolio streams and base of recurring also be opportunities for
business campus, comprising income. collaboration and synergy CONCLUSION
21 freehold buildings. with the SPH Group. We are moving ahead with
To realise the potential of strategic strides, with an
All these different initiatives M1, we will work with M1 is not a new business for eye on the long-term future
will contribute to growing its management to drive Keppel. Keppel was one of of the Company. Earlier
our AUM and building up transformation. This would the founding shareholders generations of Keppelites
Keppel Capital to be a steady include initiatives such as in 1994, before its telephone sowed many of the seeds that
pillar of recurring income for digital transformation to service was launched in are driving Keppel’s growth
the Group. enhance M1’s offering by 1997, and the IPO (Initial today. Similarly, we are now
becoming a truly digital Public Offering) in 2002. We building and broadening the
STRATEGIC INITIATIVE TO operator. Over time, M1 have worked with and foundations that will shape
TRANSFORM M1 can introduce new services supported M1 for over 20 Keppel’s future growth
We see having majority leveraging this digital years, and it has yielded very trajectory, as we harness the
control as being important platform. good returns. synergies of being a multi-
to allow Keppel and SPH business group and provide
to better support M1’s We will seek more effective Keppel has invested solutions to meet the needs
management to transform cost management of $170 million over the years, of sustainable urbanisation.
the business, against the both front and back-end and in retur n received keppelite
backdrop of increasing operations, and at the $737 million of dividends
competition. same time, pursue growth and proceeds from the
opportunities. sale of some shares. In
M1 will complement the addition, Keppel’s present
Keppel Group’s mission We can also explore balance 19.33% stake, held through
as a solutions provider for sheet optimisation initiatives Keppel T&T, had a market
sustainable urbanisation, with M1 to unlock value from value of $291 million as at
which includes connectivity, its underlying infrastructure, 21 September 2018, before
and can serve as a for example by restructuring we announced our offer.
consumer digital platform the infrastructure assets.
for the Keppel Group and We see this as an enabler In short, M1 has been a
complement our solutions to encourage sharing of good investment for Keppel.
for smart cities. infrastructure assets with We believe that with the
other operators, which can necessary transformation, it
Keppel has traditionally been also result in further cost can continue to be a valuable
involved more in the B-to-B reduction. asset for the Group. But
space. However, we are we have no illusion that
increasingly transforming At a broader level, there are the transformation journey
our B-to-B business to synergies to be harnessed will be quick or easy. It will
include retail customers in between M1 and the Keppel take at least a few years.
Keppelite I Issue 4 / 2018
8 Sustaining Growth
Delivering on strategy
Mr Chan Hon Chew, CFO of Keppel Corporation, presented the Company’s financial
performance and highlights at the 3Q & 9M 2018 results webcast. Keppelite
reproduces his speech.
3Q 2018 FINANCIAL FINANCIAL PERFORMANCE
HIGHLIGHTS
In 3Q 2018, the Group $m 3Q 2018 3Q 2017 % Change 9M 2018 9M 2017 % Change
recorded a net profit of
Revenue 1,295 1,617 (20) 4,288 4,419 (3)
$226 million, which was
15% lower than the same Operating Profit 271 297 (9) 996 630 58
quarter last year.
Profit before Tax 323 331 (2) 1,034 835 24
Correspondingly, earnings Net Profit 226 265 (15) 809 688 18
per share (EPS) decreased to EPS (cents) 12.4 14.6 (15) 44.6 37.9 18
12.4 cents, while Economic
* 3Q & 9M 2017 financial figures have been restated following the adoption of the new financial reporting framework, Singapore Financial
Value Added (EVA) was Reporting Standards (International)
higher at $109 million.
The Group’s revenue for After tax and non-controlling sold by December 2017, The Group recorded
3Q 2018 was 20% or interests, net profit was as well as lower revenue $323 million of pre-tax profit
$322 million lower than 15% lower at $226 million, from Park Avenue Heights in for 3Q 2018, 2% lower than
the same period last year. translating to an EPS of Chengdu, China and Highline last year.
Lower revenues from the 12.4 cents. Residences in Singapore.
Property and Investments These were partially offset The O&M Division’s pre-tax
divisions were partially 3Q 2018 SEGMENTAL by higher revenue from profit was $10 million for
offset by higher revenues REVIEW Waterfront Residences in 3Q 2018, as compared
from the Offshore & Marine In 3Q 2018, the Group Wuxi, China. to a pre-tax loss of
(O&M) and Infrastructure earned total revenues of $0.4 million in 3Q 2017. This
divisions. about $1.3 billion, 20% The Infrastructure Division was due mainly to higher
lower than 3Q 2017. achieved an 8% growth in operating profits and net
Operating profit for the revenue as a result of increased interest income, partially
quarter decreased by 9% or The O&M Division reported sales in the power and gas offset by share of associated
$26 million, to $271 million. a 9% increase in its top-line, businesses. This was partly companies’ losses.
This was attributed to lower as a result of higher revenue offset by lower progressive
profits from the Investments recognition from ongoing revenue recognition The Property Division
Division, partly offset by projects. from Keppel Marina East registered a 4% increase
higher profits from all the Desalination Plant project. in pre-tax profit arising
other divisions. Revenue from the Property from the divestment gain
Division saw a 67% decline The Investments Division of Beijing Aether, partly
Profit before tax at due to the absence of decrease in revenue was offset by lower contribution
$323 million, decreased by a revenue compared to due mainly to the absence from the property trading
lower margin of 2%, mainly 3Q 2017, from Estella Heights of sale of equity investments segment, the absence of
due to net interest income in Ho Chi Minh City, Vietnam, compared to the same gain from en bloc sale of
as compared to net interest which obtained occupation period last year, as well as Waterfront Residences in
expense recorded in the permit last year; The Glades, lower revenue from the asset Nantong, China and absence
same period a year ago. Singapore which were all management business. of gain on divestment of
Keppelite I Issue 4 / 2018
Sustaining Growth 9
Sedona Mandalay compared $39 million, with the Property mainly to the payment of Operating profit at
to last year. Division being the top the fines to the United $996 million was 58% or
contributor to the Group’s States, Singapore and Brazil $366 million higher than the
The Infrastructure Division earnings, followed by the authorities amounting to corresponding period last
reported a 30% increase Infrastructure, Investments $464 million arising from year, boosted by en bloc sales
in pre-tax profit driven by and O&M divisions. O&M’s global resolution. of development projects in
the gain arising from the E x c l u d i n g t h i s o n e - o ff China and Vietnam.
sale of a stake in Keppel DC 9M 2018 FINANCIAL payment, the free cash
REIT and higher contribution HIGHLIGHTS inflow would have been Profit before tax, however,
from Infrastructure Services, Compared to the same higher than last year. increased by a lower margin
p a r t l y o ff s e t b y l o w e r period last year, net profit for of 24% due mainly to
contribution from Energy 9M 2018 was 18% higher at The Group’s net gearing lower share of profits from
and Environmental $809 million. Consequently, improved from 0.46x at the associates. In 9M 2017,
Infrastructure. EPS increased by the same end of 2017 to 0.41x at the the Group benefited from
extent to 44.6 cents. end of September 2018. the Sino-Singapore Tianjin
The Investments Division Eco-City’s (Tianjin Eco-City)
recorded a decrease of Annualised Return on Equity The Group earned a total sale of three land parcels.
$40 million in pre-tax profit, also increased to 9.3%, revenue of $4.3 billion in as compared to one parcel
due mainly to the absence while EVA was higher at 9M 2018, a decrease of 3% recognised to-date this year.
of sale of equity investments $384 million. or $131 million compared to In addition, O&M Division
and absence of contribution 9M 2017. Lower revenues also saw lower contribution
from k1 Ventures. Free cash inflow for the from the Property and from associates this year.
period was an inflow of Investments divisions were
After tax and non-controlling $828 million, as compared partially offset by higher After tax and non-controlling
interests, the Group’s net to an inflow of $1 billion in revenues from the O&M and interests, net profit was 18%
profit decreased by 15% or 9M 2017. This was due Infrastructure divisions. higher at $809 million.
Similarly, EPS increased by
18% to 44.6 cents.
9M 2018 SEGMENTAL
REVIEW
For 9M 2018, the Group
earned total revenues of
about $4.3 billion, 3% lower
than 9M 2017.
The O&M Division recorded
an increase in revenue of
3%, due mainly to revenue
recognition in relation to
the jackup rigs sold to Borr
Drilling, partially offset by
lower volume of work.
Property Division’s revenue
dropped by 28%, due mainly
to lower revenue from
property trading segment.
Continues on page 10...
Keppelite I Issue 4 / 2018
10 Sustaining Growth
...continued from page 9.
Meanwhile, Infrastructure Seasons in Shenyang, this year, as compared to advances from associated
Division’s revenue increased H u n n a n To w n s h i p three land parcels last year. companies of $179 million.
by 17%, led by increased Development in Shenyang In addition, the Division’s
sales in the power and gas and Quoc Loc Phat in profits for 9M 2017 also As a result, there was
businesses, partly offset by Ho Chi Minh City, as well benefited from write-back an overall cash inflow of
lower progressive revenue as gains from divestment of of provision for impairment $828 million for 9M 2018,
recognition from the Keppel Beijing Aether in China, and of investment and sale of as compared to an inflow of
Marina East Desalination fair value gain on Nassim equity investments. $1 billion last year. keppelite
Plant project. Woods in Singapore. The
increase was partially offset After tax and non-controlling
Revenue from the by lower contribution from i n t e r e s t s , t h e G r o u p ’s
Investments Division associated companies and earnings increased by 18%
decreased by $62 million, property trading projects. to $809 million, with the
mainly due to the absence In 9M 2017, the Property Property Division being
of sale of equity investments Division’s pre-tax profit the top contributor to the
and lower contribution from also benefited from en Group’s earnings, followed
the asset management bloc sale of Waterfront by the Infrastructure
business. Residences in Nantong and Division.
the divestment gain on
The Group recorded a pre- Sedona Mandalay. The Group’s net profit of
tax profit of $1 billion for $809 million for 9M 2018
9M 2018, 24% higher than Pre-tax profit from the translated to an EPS of
9M 2017. I n f r a s t r u c t u re D i v i s i o n 44.6 cents.
increased by 14% to
This was despite the O&M $134 million. This was due FREE CASH FLOW
Division registering pre- mainly to the dilution gain Cash flow from operations
tax losses of $16 million following the change of was $459 million in
as compared to pre-tax interest in Keppel DC REIT, 9M 2018, up from
profits of $13 million last gain arising from the sale of $451 million in 9M 2017.
year, arising from lower units in Keppel DC REIT and
operating profits and higher contribution from After accounting for working
lower contribution from Environmental Infrastructure capital changes, interest and
associated companies. The and Infrastructure Services. tax, net cash inflow from
O&M Division’s pre-tax profit The increase was partly offset operating activities was
last year also benefited by the absence of gain from $164 million, as compared
from a $13 million gain divestment of GE Keppel to an inflow of $811 million
on divestment of Keppel Energy Services and lower last year, due mainly to
Verolme. The Division’s contribution from Energy higher working capital
operating margin for Infrastructure. requirements in the Property
9M 2018 was 1.8%, Division.
compared to 2.7% in The Investments Division
9M 2017. registered pre-tax losses of Net cash generated
$15 million as compared from investing activities
In the Property Division, t o a p re - t a x p ro f i t o f amounted to $664 million,
pre-tax profits more than $245 million last year. comprising divestment
doubled to $931 million, This was a result of lower proceeds and dividend
due mainly to en bloc sales contribution from associated income from associated
of development projects companies, mainly due to the companies totalling
in China and V ietnam, sales recognition of one land $969 million, partly offset
namely Zhongshan, The parcel in the Tianjin Eco-City by net repayment of the
Keppelite I Issue 4 / 2018Sustaining Growth 11
In conversation
Keppelite shares highlights of management’s responses to key questions from the
media and investment community at the Company’s 3Q & 9M 2018 results webcast.
Q: The Offshore & past two years is paying off. to Proceed by the end of just been announced. Like
Marine (O&M) Division The team is working very this year. all developers, we will take
returned to profit in hard to make sure that the a look and factor that in
3Q 2018. Were there any profits are sustainable. As On the Gandria FLNG, Ophir when we look at land sites
one-offs this quarter? we are starting to see more and Golar are looking for in Singapore.
Are profits sustainable enquiries, we are cautiously alternate investors following
moving forward? optimistic. the exit of Schlumberger While the Singapore market
CHC: The O&M Division from the OneLNG joint remains very important to
turned a profit in 3Q, mainly Q: Can you provide venture. The Notice to Keppel, we have ventured
because the operating an update on the Proceed has been extended beyond Singapore in the past
profit has gone up. It was remaining Floating from mid-2018 to end-2018. 20 years, and developed very
also helped by an increase Liquefied Natural Gas We will monitor the situation good property businesses
in interest income from (FLNG) vessel conversion closely with Golar. in places like China,
shareholder loans to two projects with Golar? Vietnam, and Indonesia.
customers, some of which CO: We are in advanced Q: How would URA’s We are therefore not entirely
was one-off due to the talks with Golar on the latest guidelines on dependent on the market
catch-up recognition during development of the Tortue limiting the number of in Singapore. Having said
the quarter. Field in which the Gimi FLNG shoebox units offered that, we would like to think
is involved. The Front End in new projects affect that the Singapore market
LCH: The hard work in Engineering Design (FEED) Keppel’s property will continue to have good
reducing Keppel O&M’s has been completed and we business? opportunities for us.
fixed overheads over the are waiting for the Notice LCH: The guidelines have
Q: China’s property
market has not been
doing very well after the
government’s cooling
measures. Why is Keppel
buying land in Nanjing?
How’s the market in
Nanjing?
LCH: It’s difficult to classify
the Chinese market as one
single market. The cooling
measures are having an
impact on sales but the
impact differs from city to
city.
Keppel Land China’s target
markets have generally
exhibited very strong supply-
Keppel O&M turned a profit in 3Q 2018 on the back of its rightsizing efforts and reduced overheads Continues on page 12...
Keppelite I Issue 4 / 201812 Sustaining Growth
...continued from page 11.
demand fundamentals. services, sales and marketing The ageing populations will partners to optimise the
One of these markets is to the joint venture if a be a long term megatrend all profit we can achieve from
Nanjing. The supply situation project comes about. over the world, whether it is Tianjin Eco-City. We must not
is relatively tight with less in the US or China. lose sight of the fact that, at
than two years’ supply in the The objective is to ultimately the end of the day, it’s really
residential market. build new data centres When I was in Vietnam, I about bringing in vibrancy
in China. We have to be was surprised to find that and residents into the
Judging from other mindful that Internet Data Asian parents do put in a lot Tianjin Eco-City. This is as
developments launched in Centre licences are restricted of money into education. important as trying to time
recent times in Nanjing, in China. Therefore we need For kids that are seven years the market cycles in our land
we expect the sales of our to rely on local partners to old and below, the parents sales. keppelite
project to perform well when make this happen. are prepared to pay about
the first phase is launched in US$1,000 a month just for LCH – Mr Loh Chin Hua,
4Q 2018. Q: Are there any updates education. CEO of Keppel Corporation
on the Memorandum CHC – Mr Chan Hon Chew,
Q: When do you expect of Understanding with So we believe that both CFO of Keppel Corporation
the underlying property Vicinity? Why is Keppel these sectors are indeed
trading profit to going into retail malls in very scalable. CO – Mr Chris Ong,
improve? Australia? CEO of Keppel Offshore &
LCH: For the property trading CT: While most people Q: For the Tianjin Marine
business, we have sales would say that retail malls Eco-City, the land sale CT – Ms Christina Tan,
value of about $2.4 billion are unloved at this point in prices on a gross floor CEO of Keppel Capital
in our books, which will time, I think that’s where area (GFA) basis were
TP – Mr Thomas Pang,
be recognised when the we find great opportunities lower than last year’s.
CEO of Keppel
overseas projects are of being able to select Could you have waited
Telecommunications &
completed. We expect to some of the most defensive for a market recovery to
Transportation
see some completions in the malls in this market and achieve better prices?
rest of 2018. getting in for quite an LCH: The sale price on a per-
attractive yield. square-metre basis of GFA
In 1H 2018, we had fewer is lower as these plots have
new launches in markets We are looking at more higher plot ratios. However,
like Vietnam and China of the sub-regional malls on a per-square-metre of
compared to last year. For within this portfolio, which land basis, it is actually
2H 2018, we are in the have long term stable comparable to what was
process of launching some occupancies around 95% achieved in the recent two
new projects, which we and above, supported by years.
believe would improve the non-discretionary spending
sales. by the consumers. We Tianjin Eco-City is a major
are also finding a lot of G-to-G project, which we
Q: Could you help us opportunities to add value. have been involved in for
understand the recent 10 years. We have been
cooperation with three Q: How scalable are profitable in the last two
technology firms to the senior living and years and we expect that it
develop more efficient education real estate will still take us a number of
data centres? Is there a sectors? years to get Tianjin Eco-City
scope to plant a flag in CT: Whenever we look at fully developed.
China? investments, we always look
TP: The various partners will at long-term trends and During this period, there will
contribute different services fundamentals. Senior living be market cycles. However,
such as equipment, design is a very scalable investment. we will work with our
Keppelite I Issue 4 / 2018Sustaining Growth 13
Expanding portfolio
Keppel Telecommunications
& Transportation (Keppel
T&T) registered a net profit of
$47.2 million for 9M 2018,
up 32% from $35.7 million
a year ago. The increase
was due mainly to a dilution
gain from Keppel DC REIT’s
private placement exercise
in May 2018, partly offset by
higher operating expenses
and absence of gain on
disposal of subsidiaries.
Net profit for 3Q 2018 During the quarter, Keppel T&T inked conditional agreements to embark on its first data centre development in Indonesia, in collaboration with
Alpha Data Centre Fund and the Salim Group
was $11.8 million, 12%
lower than $13.5 million
for 3Q 2017, due mainly a higher share of profits from compared to $1.52 per share and the Salim Group (see
to higher operating costs associated companies and as at end-2017. During the page 24). UrbanFox’s online
which corresponded with joint ventures. quarter, Keppel T&T inked marketplace also expanded
higher revenue, as well as conditional agreements its channel management
the absence of gain from Keppel T&T’s net asset value to embark on its first data solutions to over 260 brands
the partial disposal of Keppel per ordinary share increased cen tre d evel o p men t i n from 110 at the end of
DC Singapore 4 in 3Q 2017. to $1.56 per share as at Indonesia, in collaboration 2Q 2018. keppelite
This was partially offset by 30 September 2018, with Alpha Data Centre Fund
Driving operational excellence
Keppel REIT has delivered due in 2019. Aggregate about 0.16% of total issued Centre Tower 2, testifying
distributable income leverage was 39.1% as units, pursuant to its unit to the asset’s quality and
of $142.9 million for at end-3Q 2018 and all- buy-back programme. ability to attract established
9M 2018, higher than that of in interest rate was 2.80% tenants.
$142.5 million for 9M 2017. per annum for 9M 2018. Portfolio committed
Distribution Per Unit (DPU) To mitigate exposure to occupancy remained high HSBC Singapore will occupy
for 3Q 2018 was 1.36 cents, interest rate volatility, 76% of at 98% and weighted approximately 140,000 sf
bringing DPU for 9M 2018 Keppel REIT’s total borrowings average lease expiry for the over the top floors on the
to 4.20 cents. are on fixed rates. portfolio was extended to 50-storey building. Fit-
5.7 years as at 30 September out work is expected to
As part of proactive capital In 3Q 2018, the Manager 2018. During the quarter, commence in the second
management efforts, a facility purchased and cancelled HSBC signed a lease for the half of 2019, with target
was obtained to refinance approximately 5.3 million relocation of its headquarters occupation by April 2020.
a $64 million loan that is issued units, amounting to to Marina Bay Financial keppelite
Keppelite I Issue 4 / 201814 Sustaining Growth
Stable distributions
Keppel Infrastructure outage that occurred from compared to the previous flows for 9M 2018 was
Trust (KIT) announced a 25 March to 5 June 2018, as year, was mainly due to $107 million, compared to
Distribution per Unit (DPU) a result of an incident caused lower contributions from $113.5 million for the same
of 0.93 cents for 3Q 2018, by a third party contractor. City Gas as a result of a time period in 2017.
bringing total DPU to The electricity interconnector lag in the adjustment of
2.79 cents for 9M 2018. has since returned to service gas tariffs to reflect actual As of 9M 2018, City Gas’
on 5 June 2018. This was fuel cost, lower revenue at customer base grew by
Group revenue for 9M 2018 partially offset by higher Basslink, and higher fair value 3.7% to 836,000 customers
was $465.2 million, 1.9% revenue from City Gas. loss of financial derivative as compared to the same
lower than 9M 2017, mainly instruments recognised. period in 2017. keppelite
from lower fees earned at Lower profit attributable to
Basslink due to the service Unitholders in 9M 2018, KIT’s distributable cash
Growing footprint in Sydney
Keppel DC REIT reported
higher distributable income
of $70 million for 9M
2 0 1 8 , u p 1 2 . 7 % f ro m
9M 2017. The increase
was mainly contributed
by the acquisitions of
Keppel DC Singapore 5,
maincubes Data Centre and
Keppel DC Dublin 2, as well
as higher variable income
from other Singapore assets.
The REIT’s 9M 2018 adjusted
Distribution per Unit (DPU)
was 5.47 cents, 4.8% higher
than the 5.22 cents in the
same period last year. Based IC3 East DC (pictured) will feature a minimum of 86,000 sf of lettable area, increasing the portfolio aggregate lettable area to
1,198,103 sf
on 9M 2018’s market closing
price of $1.37 per Unit,
Keppel DC REIT’s adjusted to construct the REIT’s fourth completion, the facility will IC3 East DC’s addition is
annualised distribution yield data centre in Australia – be fully-leased to Macquarie expected to be DPU-
was also higher at 5.3%. Intellicentre 3 East Data Telecom on a 20-year triple- accretive, and will strengthen
Centre (IC3 East DC), on net master lease with built-in the REIT’s footprint in one of
During the quarter, the the vacant land within annual rental escalations and Asia Pacific’s fastest-growing
Manager of Keppel DC REIT the Intellicentre 2 Data renewal options, enhancing data centre markets. keppelite
entered into an agreement Centre site in Sydney. Upon the REIT’s income stability.
Keppelite I Issue 4 / 2018Sustaining Growth 15
Pursuing growth
Keppel-KBS US REIT
delivered stable performance
for 3Q 2018, supported by
strong leasing momentum,
positive rental reversion and
lower property expenses.
Distribution Per Unit (DPU)
for 3Q 2018 was 1.50 US
cents, bringing DPU for the
period from Listing Date
to 30 September 2018 to
5.32 US cents, in line with
the IPO forecast of 1.49 US
cents and 5.29 US cents
respectively.
Capitalising on steady
demand, the quarter saw
The Westpark Portfolio, a business campus comprising 21 freehold buildings in the Seattle-Tacoma-Bellevue Metropolitan Statistical Area, will
strong leasing momentum be Keppel-KBS US REIT’s maiden portfolio acquisition since its IPO
with approximately
134,000 sf (18 leases)
committed. As at 21 freehold buildings, will be market, with limited sites rental escalations. At the
30 September 2018, Keppel-KBS US REIT’s third available for competitive new same time, the Manager
portfolio committed asset in the Seattle-Tacoma- development. At the same will also actively pursue
occupancy was 90.1%. The Bellevue Metropolitan time, Seattle, being one of o p p o r t u n i t i e s t h ro u g h
Manager continues to adopt Statistical Area (MSA). The the strongest office markets accretive acquisitions, while
a prudent approach towards maiden acquisition was in the US, will allow the REIT ensuring an optimal and
capital management. As at approved by Unitholders to benefit from steady rent nimble capital structure for
30 September 2018, the at an extraordinary general growth. growth. keppelite
REIT has zero refinancing meeting on 16 October
requirements until 2018. “The acquisition is expected
November 2021. to be value accretive, and is
Mr David Snyder, CEO and in line with our strategy to
In keeping with its aim to CIO of the Manager, said, acquire distinctive assets in
create value for Unitholders, “The acquisition of first choice submarkets and
the Manager announced the Westpark Portfolio create long term value for
on 24 September 2018 will strengthen our Unitholders.”
the proposed acquisition K e p p e l - K B S U S R E I T ’s
of the Westpark Portfolio foothold in the high growth Looking ahead, the REIT’s
in Redmond, a first Seattle MSA. This will allow performance will continue
choice office submarket the REIT to capitalise on to be supported by organic
in Eastside, Seattle, for a strong leasing demand growth drivers including
purchase consideration of from the technology and improved portfolio
US$169.4 million. The professional services sectors occupancies, positive rental
property, which comprises in a supply-constrained reversions and built-in
Keppelite I Issue 4 / 201816 Sustaining Growth
Deepening partnership
Keppel Land, through its headroom in NLG for C o n c u r r e n t l y, K e p p e l Mr Linson Lim, President,
wholly-owned subsidiary, has Keppel Land to convert Land, through its wholly- Keppel Land (Vietnam), said,
entered into an agreement the remaining 49% of the owned subsidiary Portsville “We are happy to further
with third party investors Bonds that the company Pte Ltd, has entered into extend our partnership with
to divest 51% of its VND holds into shares, as NLG a conditional agreement, NLG. The early conversion
500 billion (approximately has a foreign shareholding subject to due diligence of the convertible
$29.4 million) convertible limit of 49%. Upon by NLG and the execution bonds demonstrates our
bonds (the Bonds) issued completion of the bond of definitive agreements, confidence in NLG’s growth
by Nam Long Investment conversion by end- to divest a 70% interest in and paves the way for future
Corporation (NLG), a 2018, Keppel Land will Dong Nai Waterfront City collaborations. We will also
leading housing developer in become the second largest LLC (Dong Nai) to NLG, be able to enjoy future
Ho Chi Minh City (HCMC), shareholder of NLG, for a total consideration of upsides in the development
for a consideration of VND increasing its shareholding VND 2,683 billion of the Dong Nai township
393 billion (approximately from approximately 5% ( a p p ro x i m a t e l y $ 1 5 7 . 8 with our retained 30% stake
$23.2 million). to about 10%. The partial million). Keppel Land will in the project, coupled with
divestment and conversion continue to hold a 30% our significant shareholding
The divestment of the of the Bonds will enable interest in Dong Nai, which in NLG.” keppelite
Bonds, negotiated on a Keppel Land to recognise is developing a 170-ha
willing-buyer willing-seller a gain of approximately township in the Dong Nai
basis, will create sufficient $17.5 million. Province.
Engaging retail shareholders
Some 125 participants Corporation’s annual briefing Mr Loh Chin Hua, CEO of directions for the offshore &
gathered at the Singapore to retail shareholders, hosted Keppel Corporation and marine business in the face
Exchange (SGX) Auditorium by the Securities Investors Mr Chan Hon Chew, CFO of the industry downturn,
on the evening of Association (Singapore) of Keppel Corporation, infrastructure projects as well
7 September 2018 for Keppel (SIAS). delivered presentations on as Keppel’s latest venture
the Company’s strategy, into senior living.
business developments
and financial performance. “This is the second year that
The event culminated in we are working with SIAS
a robust dialogue session on this engagement event.
between management and It was a suggestion made by
shareholders, which was one of our shareholders at
moderated by Mr David the AGM, who thought that
Gerald, President and CEO something like this would be
of SIAS. useful. We listen and respond
to our shareholders,” said
Topics of discussion included Mr Loh, reassuring the
Keppel’s business model, the participants of Keppel’s
Mr Loh Chin Hua (left), CEO of Keppel Corporation, Mr David Gerald (middle), President and
CEO of SIAS, and Mr Chan Hon Chew (right), CFO of Keppel Corporation engaged retail
impact of property market commitment to shareholder
shareholders at Keppel Corporation’s annual briefing to retail shareholders, hosted by SIAS cooling measures, strategic engagement. keppelite
Keppelite I Issue 4 / 2018Sustaining Growth 17
Keppel Corporation bolsters leadership
M r Ye o i s a C e r t i f i e d
Compensation Professional
and a Global Remuneration
Professional with the
American Compensation
Association. He is also a
Board Member of Singapore
Corporation of Rehabilitative
Enterprises and previously
a Council Member of the
Singapore Human Resources
Professor Jean-François Manzoni Mr Yeo Meng Hin Mr Ho Kiam Kheong
Institute.
New appointments were Prior to re-joining IMD in was appointed to the Board INDIA REPRESENTATIVE
made to Keppel Corporation’s 2016, he spent five years of AACSB International, To drive the Group’s efforts
Board of Directors and senior a t I N S E A D ’s S i n g a p o re the world’s largest business to identify, evaluate and
management team as part c a m p u s w h e re h e c o - education alliance. develop new business
of the Company’s ongoing directed the International o p p o rtu n i ti es i n India ,
efforts to ensure long-term Directors Programme from DIRECTOR, GHR Mr Ho Kiam Kheong was
growth. 2014 to 2016. From 2004 M r Ye o M e n g H i n h a s appointed as the Company’s
to 2010, he served as joined Keppel Corporation India Representative with
INDEPENDENT DIRECTOR Professor of Leadership and as Director of Group Human effect from 3 September
Professor Jean-François Organisational Development Resources (HR), effective 2018. Working with Group
Manzoni was appointed at IMD. Professor Manzoni 1 October 2018. Prior to his Corporate Development,
as an Independent Director has also spent 12 years appointment, Mr Yeo was Mr Ho will promote Group-
on Keppel Corporation’s on the faculty of INSEAD the Senior Vice President of wide collaboration on
Board with effect from (Fontainebleau), where he HR Asia Pacific at DHL Global sustainable urbanisation in
1 October 2018. With the founded and directed the Forwarding Management India.
addition, the Company’s PwC Research Initiative (Asia Pacific).
Board will comprise a total on High Performance Mr Ho brings with him more
of ten directors, of whom Organisations. An experienced HR than 30 years of experience
e i g h t a re i n d e p e n d e n t professional with deep in business development,
directors. Professor Manzoni is foundations in Industrial real estate investments,
a member of several Relations, Compensation project management as well
Professor Manzoni is International Advisory Panels, & Rewards Management as design and construction.
President (Dean) and Nestlé including Digital Switzerland, and Change Management, Prior to joining Keppel, he
Professor at the International Singapore’s Public Service M r Ye o h a d a l s o h e l d served as the ED and MD,
Institute for Management Division and the Russian senior positions at SMRT Real Estate of Rowsley. Mr Ho
Development (IMD) in Presidential Academy of Corporation and DFS had also held various other
Switzerland, where he is National Economy and Public Group, and brings with senior appointments in Reem
based. Professor Manzoni’s Administration. He is a Fellow him experience in various Investments, CapitaLand
research, teaching, and of the Singapore Institute of human resource and Residential, CapitaLand
consulting activities are Directors, and served on consultancy roles in a wide Commercial and SembCorp
focused on leadership, the Board of Singapore’s array of industries including Engineers & Constructors.
the development of high- Civil Service College from hospitality, professional keppelite
performance organisations 2015 to 2017. In January services, property, financial
and corporate governance. 2018, Professor Manzoni services and retail.
Keppelite I Issue 4 / 201818 Sustaining Growth
First commercial development for
Keppel Land in India
K e p p e l L a n d , t h ro u g h KPDL will be developing a Mr Sam Moon Thong, “We are pleased to further
i t s s u b s i d i a r y, K e p p e l Grade A office tower with a President (Regional o u r co ll abo ration w ith
Puravankara Development gross floor area of 1.02 million Investments), Keppel Land, Puravankara who has a
(KPDL), a 51:49 joint venture sf as well as a 160,000 sf said, “India is one of the strong network and keen
company with a reputable retail-cum-office facility f a s t e s t - g ro w i n g m a j o r understanding of the
Indian property developer, on the land. KPDL will economies in the world, local market. We believe
Puravankara Limited manage the office tower while Bangalore, as one this acquisition will further
(Puravankara), has entered into upon completion, while the of the primary hubs for augment Keppel Land’s
agreements to acquire a prime retail-cum-office facility will the technology industry, commercial portfolio and will
3.09-ha site in Yeshwantpur, be handed over to MCCIN. is among the largest and position us well to meet the
Bangalore, from Metro Cash The total development f a s t e s t - g ro w i n g o ff i c e urbanisation needs for prime
& Carry India (MCCIN) for cost, inclusive of the land markets in the country. office space in Bangalore.”
a total consideration of cost, for the entire mixed- Bangalore has recorded keppelite
INR 4,050 million use development is the highest office space
(approximately $81.0 million), INR 10.4 billion (approximately absorption in the Asia-Pacific
subject to adjustments. $207.4 million). region in the past five years.
Expanding into Nanjing
Keppel Land China has will consist of 1,728 high- The divestment is in line with in end-July 2018, yielding
formed a 40:60 joint venture rise apartment units and Keppel Land’s strategy to a gain of approximately
with Gemdale (Group) Co., 50 street-front shop units. recycle assets to seek higher $122 million. keppelite
Ltd. (Gemdale Corporation), Phase 1, comprising 787 returns. It was completed
a leading developer in units, is expected to be
China with over 30 years of launched in 4Q 2018 and
experience, to jointly develop the entire development will
an 8.8-ha prime residential be completed in 2Q 2022.
site in Nanjing City.
Separately, through its
The collaboration marks wholly-owned subsidiary,
Keppel Land China’s first Keppel Land China has
foray into Nanjing and divested its 51% stake in
further expansion in the Aether Limited, the holding
Yangtze River Delta region. company of Beijing Aether
Property Development Ltd,
The site is located at the core which owns and is developing
of the Nanjing Jiangbei New a prime commercial site in
Area, the only national-level Chaoyang District, Beijing,
Keppel Land China has formed a joint venture with Gemdale Corporation to jointly develop
new area in Jiangsu Province. for a consideration of an 8.8-ha prime residential site in Nanjing comprising 1,728 units of high-rise apartments and
The proposed development approximately $396 million. 50 units of street-front shops
Keppelite I Issue 4 / 2018Sustaining Growth 19
At the helm
Mr Tan Swee Yiow Mr Paul Tham Ms Tan Boon Ping Ms Ang Sock Cheng
KEPPEL LAND Mr Loh said, “With close to (WorldGBC) Board and a consolidation, tax, financial
Mr Tan Swee Yiow, 58, 30 years’ experience in the Member of the WorldGBC’s and management reporting,
CEO and ED of Keppel Keppel Group, Swee Yiow Corporate Advisory Board. forecasting and budgeting.
REIT Management, will be has played an instrumental He also serves as Deputy She started her career as an
appointed CEO of Keppel role in building up Keppel’s Chairman of the Workplace auditor with Ernst & Young
L a n d w i t h e ff e c t f ro m property and REIT businesses. Safety and Health Council and PwC.
1 January 2019. (Construction and
“Swee Yiow is widely Landscape Committee) and KEPPEL REIT
Mr Loh Chin Hua, CEO of respected in the industry is the Honorary Treasurer on Mr Paul Tham, 36, currently
Keppel Corporation, and for his rich experience and the Management Council Deputy CEO of Keppel
c o n c u r re n t l y E x e c u t i v e knowledge of the real estate of Real Estate Developers’ REIT Management and
Chairman of Keppel sector and deep commitment Association of Singapore concurrently CFO of Keppel
Land, will re-assume his to sustainability. (REDAS). Capital, will take over from
previous role as Chairman, Mr Tan as CEO of Keppel REIT
Keppel Land. “We are confident he will steer Separately, Ms Tan Boon Management with effect
Keppel Land in a new growth Ping, 44, has been appointed from 1 January 2019.
M r Ta n h a s b een w ith phase as a multi-faceted CFO for Keppel Land.
the Keppel Group since property company focused Ms Tan joined Keppel Land in Mr Tham has been with
1990. Prior to his current on returns, harnessing our December 2008 as Financial the Group since 2014 and
a p p o i n t m e n t , M r Ta n strengths and capturing Controller. In December was part of Keppel’s Group
was President, Singapore, opportunities across key 2015, she was appointed as Strategy and Development,
at Keppel Land, and markets in the region.” CFO for Keppel Land China where he played a key
concurrently Head, and relocated to Shanghai. role in the formation of
Keppel Land Hospitality Beyond his roles in the Keppel Keppel Capital. Prior to
Management. He was Group, Mr Tan is also the Prior to joining Keppel Land, Keppel, Mr Tham served as
the CEO of Keppel REIT President of the Singapore Ms Tan was with Ascendas Pte a management consultant
Management when Keppel Green Building Council, Ltd and City Developments f o r B a i n & C o m p a n y,
REIT was listed in April 2006, a Director of the World Limited, where she gained
a role that he held till 2009. Green Building Council experiences in group Continues on page 20...
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