Maybank Research Pte Ltd
20 August 2025
Singapore Equities: Key Growth Opportunities, Corporate Moves & Sector Shifts – Sanli, Singtel, Lum Chang, CapitaLand, iFast, Sarine

Singapore Market Outlook: Strong Growth Prospects and Strategic Developments

Singapore’s equity landscape is seeing renewed momentum with pivotal moves from leading companies, strategic project launches, and positive sector trends. This comprehensive market update delivers actionable intelligence for investors, analysts, and market watchers seeking detailed insights across standout corporate developments and investment opportunities.

Top Equity Ideas: Sanli Environmental and Singapore Telecommunications Lead the Charge

Sanli Environmental: Positioned for Multi-Year Growth

Sanli Environmental, a fully local-owned water treatment and maintenance provider, is entering a high-growth phase. With the expiration of most COVID-era projects, the company is set for sharp margin improvement. The order-book is expected to nearly double, reaching SGD500-600 million by December 2025, driven by a robust pipeline of water infrastructure projects aligned with Singapore’s national strategy to reduce reliance on imported water.

• Margins are expected to rebound significantly as legacy projects wind down.
• Order-book growth supported by a strong water infrastructure pipeline.
• National strategy boosts demand for local water treatment solutions.
• Target Price: SGD0.38, based on 15x blended FY26/27E P/E.

Singapore Telecommunications (Singtel): Robust Earnings and Growth Momentum

Singtel posted a strong 1QFY26 performance, with underlying earnings rising 14% year-on-year (YoY) and achieving 25% of full-year estimates. Growth was propelled by associates such as Airtel (+97% YoY) and AIS (+28% YoY). Early turnaround signs are emerging at Telkomsel and Globe as competitive pressures ease.
Core Optus/NCS operations delivered firm growth, while Singapore mobile revenue was down (-11% YoY) but is set for recovery amid industry consolidation. The expansion of data centers provides significant long-term upside.

• BUY recommendation, Target Price: SGD4.30.
• Industry consolidation set to drive Singapore mobile recovery.
• Data center investments reinforce long-term value.

Market-Shaping News: Corporate Moves and Strategic Project Updates

Lum Chang Creations: Profits Surge on Project Momentum

Lum Chang Creations anticipates a significant improvement in profit before tax (PBT), fueled by increased revenue from better progress on ongoing projects and the start of several newly awarded contracts in FY25 compared to the prior year.

• Profit growth driven by newly commenced and ongoing project wins.
• FY25 results to be released by 29 August 2025.

CapitaLand Investment: Johor-Singapore SEZ Expansion

CapitaLand Investment will serve as retail advisor for Astaka Holdings’ RM1.2 billion mixed-use development in Johor, Malaysia. This project includes a lifestyle retail mall adjacent to the Arden @ One Bukit Senyum residential skyscraper and is part of the broader One Bukit Senyum area, expected to reach RM3.6 billion in gross development value (GDV) across three phases.

• One Bukit Senyum is situated within the strategic Johor-Singapore Special Economic Zone (JS-SEZ).
• Key developments include:
  • The Astaka @ One Bukit Senyum (Phase 1)
  • Menara MBJB – Grade-A office tower (Phase 2)
  • Bukit Pelali @ Pengerang – a self-contained township with residential and commercial units

iFast Corporation: Major Shareholder Reduces Stake

iFast Corporation confirmed that its second-largest shareholder, CP Invest, sold 14.35 million shares at a 6.7% discount to the previous close, reducing its holding from 9.6% to 4.9%. This move means CP Invest, a subsidiary of Cuscaden Peak (formerly SPH Invest), is no longer a substantial shareholder.

• CP Invest previously sold 75,000 shares at SGD7.45 apiece on 2 January, lowering its stake to 10.99% from 11.01%.
• Temasek is deemed interested in these shares via Cuscaden Peak and DBS Group.

Sarine Technologies: Strategic Diversification via Kitov.ai Acquisition

Sarine Technologies has acquired a 33% stake in Kitov.Ai for an initial cash investment of USD4.1 million. The company is also providing Kitov.ai with a USD2.6 million convertible loan, which may be converted into equity between 01 January 2027 and 15 February 2028 at Sarine’s discretion, potentially raising its total stake to 51%.

• This move allows Sarine to diversify beyond the diamond jewelry sector, tapping Kitov.ai’s customer base in aerospace, defense, electronics, medical devices, energy control, and consumer products across the US, Europe, Far East, and Israel.
• Kitov.ai’s industry-leading clients provide Sarine with new growth avenues amid diamond industry challenges.

Investment Ratings and Analyst Coverage Universe

Maybank IBG Research uses the following rating system:

• Investment ratings apply only to stocks actively covered by the analyst.
• Reports on non-covered companies do not carry investment ratings.

Disclosure of Interest and Analyst Independence

• Maybank Research Pte Ltd and covering analysts (as of 20 August 2025) declare no interest in any companies recommended in this report.
• Analyst certifications confirm that views expressed are independent and not influenced by compensation related to specific recommendations.

Key Takeaways for Investors

• Sanli Environmental and Singtel stand out for their multi-year growth potential and strategic positioning.
• Lum Chang, CapitaLand, iFast, and Sarine are making significant strategic moves, each with unique implications for investors.
• Market consolidation, sector diversification, and active project launches are shaping Singapore’s equity landscape in 2025.

Conclusion
Singapore’s financial markets are witnessing dynamic growth, sectoral shifts, and strategic corporate initiatives. Investors should closely monitor these developments, as companies leverage national strategies, project momentum, and diversification opportunities to deliver long-term value.