Lim & Tan Securities
Date of Report: 3 September 2025

Singapore Markets Update: Institutional Confidence, Strategic Acquisitions, and Sector Watchlists Shape September Outlook

Market Overview: STI Leads as Wall Street Faces Bond Market Pressure

Singapore’s FSSTI continues to demonstrate resilience, closing at 4,298.5 with a year-to-date (YTD) gain of 13.5%, outperforming several global indices. In contrast, Wall Street’s major indices experienced a setback as the S&P 500 posted its worst day in a month, declining 0.7%. The Dow Jones and Nasdaq slipped 0.5% and 0.8% respectively, as rising Treasury yields weighed on investor sentiment. Tech giants such as Nvidia, Amazon, and Apple led the US market lower, while global bond yields rose on concerns about sovereign debt sustainability 1.

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Interest Rates and Commodities: Volatility Returns

Key interest rates and commodity prices continue to fluctuate. The Singapore 10-year bond yield stands at 1.9%, while the US 10-year Treasury yield is at 4.3%. Gold prices remain robust, up 34.4% YTD, reflecting strong safe-haven demand amid global uncertainties. Crude oil has rebounded 2.5% MTD but remains down 8.5% YTD. Crude palm oil is up 9.7% YTD, while the Baltic Dry Index has more than doubled, indicative of ongoing supply chain and shipping constraints 1.

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Ever Glory United Holdings: Strategic Placement and Institutional Endorsement

Ever Glory United Holdings Limited, a Singapore-based mechanical and electrical engineering service provider, announced the successful completion of its placement of 31 million new ordinary shares at S$0.55 each, raising approximately S$17.05 million. The placement price was a 7.72% discount to the volume weighted average price of S$0.596 on 22 August 2025. The offering drew strong participation from institutional and accredited investors, including ICHAM Master Fund, Amova Asset Management, Lion Global Investors, Ginko-AGT Global Growth Fund, Asdew Acquisitions, and Azure Capital 1.
The net proceeds are earmarked for general working capital and the partial payment for the acquisition of Guthrie Engineering (S) Pte. Ltd. This acquisition is seen as a catalyst for Ever Glory’s growth, strengthening its capabilities and positioning the company for significant opportunities amid Singapore’s robust infrastructure pipeline over the next 5 to 10 years.
Notable highlights:
Market cap: S$259.6 million
Valuations: 33x PE, 11x PB, 0.7% dividend yield
Bloomberg consensus target price: S$0.81 (9.4% upside)
Endorsed by multiple institutional funds
The company is flagged for close sector watch, with prospects bright enough to potentially bring forward valuations to more attractive levels 1.

Centurion Corporation: Expanding Johor Footprint with Strategic Acquisition

Centurion Corp (S$1.73, unchanged) has acquired Harum Megah Resources Sdn. Bhd., a Johor-based dormitory operator, for RM110.8 million (approx. S$33.2 million). This acquisition, executed via wholly-owned subsidiary Centurion Dormitories Sdn. Bhd., adds a portfolio of six Purpose-Built Worker Accommodation (PBWA) assets totaling about 7,197 beds across mature industrial estates in Johor. These assets are fully operational, licensed as Centralised Labour Quarters (CLQ), and compliant with Malaysia’s Workers’ Minimum Standards of Housing and Amenities Act 1990 (Act 446) 2.
After this acquisition, Centurion’s Malaysian portfolio will expand to approximately 35,610 beds—a 25% increase. The six acquired PBWA assets are:
Cendana Block 21 Dormitory (c.567 beds)
Cendana Block 6 Dormitory (c.342 beds)
Desa Cemerlang Dormitory (c.1,540 beds)
Kempas Dormitory (c.1,260 beds)
Permas Jaya Dormitory (c.2,400 beds)
Senai Airport City Dormitory (c.1,088 beds)
Key drivers:
Immediate earnings accretion
Strong migrant workforce catchment and occupancy
Government’s active enforcement of CLQ standards
Centurion’s intent to double its Johor bed capacity within five years—driven by a potential RM300-500 million investment into the Johor-Singapore Special Economic Zone (JS-SEZ)—is reinforced by this acquisition. The company’s capital recycling strategy, including potential REIT listings, offers value-unlocking opportunities 2.
Centurion Financials:
Market cap: S$1.5 billion
12.9x forward P/E, 1.2x P/B, 2.3% dividend yield
“Accumulate on Weakness” stance maintained

Sector Valuations: Highest Dividend Yields and Lowest Valuations

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Fund Flows: Institutional and Retail Trends for Singapore Equities

For the week of 25 August 2025, institutional investors were net buyers at +S$21.6 million (vs. -S$17.5 million prior week), while retail investors were net buyers at +S$33.7 million (vs. -S$0.9 million prior week). Singtel led institutional net buys (+S$55.1m), followed by Keppel (+S$33.3m) and Jardine Matheson (+S$27.5m). In contrast, OCBC (-S$33.0m), DBS (-S$31.6m), and ST Engineering (-S$28.0m) saw the highest institutional net selling.
Retail investors favored DBS (+S$47.4m), Sembcorp Industries (+S$32.8m), and OCBC (+S$30.7m), while selling was dominant in Keppel (-S$38.9m), Singtel (-S$36.3m), and Seatrium (-S$17.3m) 5.

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Share Transactions: Acquisitions, Disposals, and Buybacks

Major share transactions for the period 1 August to 2 September 2025 included significant acquisitions by Q&M Dental, Sunmoon Food, Stamford Land Corp, Metro Holdings, Rex International, and Advanced Holdings. Notable disposals were seen in CNMC Goldmine, Golden Agri Resources, UMS Integration, and Lum Chang Holdings. Share buybacks were prevalent, with companies such as HK Land, Sembcorp Industries, Keppel Ltd, OCBC, UOB, and Raffles Medical participating 4.

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Macro Trends: China’s Housing Slump and Commodities Decoupling

China’s demand for new homes in cities is set to stay 75% below its 2017 peak for the coming years, driven by a shrinking population and falling price expectations. Annual urban demand is expected to remain just below five million units, a stark contrast to the 20 million units peak in 2017. The country’s new-home prices continue to fall despite stimulus efforts, keeping the property sector under pressure 3.
Global macro shifts are emerging: a weaker US dollar is expected to drive retrenchment in US demand and imports, with dollar depreciation now deflationary for the rest of the world. Emerging Market (EM) local currency government bonds are recommended over EM credit or equities, with a preference for local bonds in Mexico, Argentina, Peru, Korea, Malaysia, India, Central Europe, and China.
Commodities are also decoupling from historical correlations. Gold ETF inflows have resumed, copper is decoupling from other industrial metals, and investors are advised to stay underweight oil, neutral on copper, and overweight gold in the near term 3.

Singapore Dividends: Key Upcoming Dates

A wide range of Singapore-listed companies have announced interim, special, and final dividends, with payment and ex-dividend dates spanning August to November 2025. Notable payers include Mapletree Logistics Trust, Mapletree Industrial Trust, Capitaland Ascott Trust, Keppel Ltd, DBS, UOB, Comfort DelGro, Propnex, Venture Corp, Food Empire, and SGX.

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SGX Watch-List: Companies Under Review

Currently, 32 companies are flagged on the SGX watch-list, including the latest additions: Addvalue Technologies, Renaissance United, Telechoice, Tiong Seng Holdings, Global Invacom Group, Green Build Technology, Keong Hong, and Camsing Healthcare. This list highlights firms under regulatory scrutiny or at risk of delisting, serving as a caution for investors 9.

Conclusion: Navigating September with Strategic Focus

Singapore’s market landscape for September 2025 is marked by continued institutional confidence, strategic M&A activity, and sector-specific opportunities. Ever Glory United and Centurion Corporation exemplify companies harnessing institutional support and expansion strategies to unlock value. Meanwhile, investors should monitor macro headwinds from China, evolving commodity trends, and regulatory watchlists as they position portfolios for the months ahead.
Lim & Tan Securities continues to recommend a disciplined approach, emphasizing sector selection and valuation discipline as the market digests fresh data and global policy shifts.