Lim & Tan Securities
Report Date: 4 September 2025

Singapore Market Outlook: Major Deals, Institutional Flows, and Dividend Opportunities in September 2025

Table of Contents

• Singapore Market Performance and Key Indices
• Featured Idea: Keppel’s Strategic Divestment and Upside Potential
• Alpina Holdings: Privatization Deal Analysis
• Sector and Stock Highlights: Yields, Valuations, and Fund Flows
• Macro Market Insights: China’s Mega Airbus Order and Global Trends
• Notable Share Transactions and Buybacks
• Institutional and Retail Fund Flows: Sector Breakdown
• Dividend Calendar: Key Payout Dates in September and Beyond
• SGX Watch-List: Latest Company Inclusions

Singapore Market Performance and Major Global Indices

• Daily Market Value: S\$1,234.7 million
• Daily Market Volume: 1,312.7 million shares
• 52-week STI High: 4,301.2
• 52-week STI Low: 3,372.4

Commodities and Key Interest Rates Snapshot

• Gold: S\$3,554.8/oz (+35.4% YTD)
• Crude Oil: S\$64.0/barrel (-10.8% YTD)
• Baltic Dry Index: 1,986.0 (+99.2% YTD)
• Crude Palm Oil: S\$4,422.0/ton (+8.1% YTD)
• 3-Month SGD SORA: 1.5 (-50.0% YTD)
• SG 10Y Bond Yield: 1.9% (-33.9% YTD)
• US 10Y Bond Yield: 4.2% (-7.8% YTD)

Featured Idea: Keppel Limited’s Data Centre Divestment and Valuation Upside

Keppel Limited ($8.64, down 6 cents) has completed the divestment of its effective interests in two data centre buildings, KDC SGP 7 and KDC SGP 8, to Perpetual (Asia) Limited. The transaction, executed through Keppel’s subsidiary Keppel Griffin, involves a 51% stake in Memphis 1 Pte. Ltd. and a 0.51% interest in new Class B Notes issued by Memphis 1.

• The consideration for the divestment is up to S\$8.4 million, subject to completion adjustments.
• Divestment payment involves about S\$6.6 million on completion and up to S\$1.8 million post-completion if a ten-year lease extension is secured.
• The agreed value for the properties is pegged at S\$1,046.3 million, based on the lower of two independent valuations and the agreed value with no land tenure lease extension.
• Following the divestment, Keppel holds zero interest in Memphis 1 or its properties.

Keppel’s financials stand out with a market capitalization of S$15.82 billion, trading at 18.3x forward PE and 1.5x PB, while offering a 3.9% dividend yield. The consensus target price is S$9.76, suggesting a 13% upside. Keppel’s continued monetization of assets and robust fundamentals warrant an “Accumulate” recommendation.

Alpina Holdings: Privatization and Fair Value Assessment

Alpina Holdings ($0.31, trading halt), after several months of deliberations and holding announcements, has reached an agreement for privatization via a scheme of arrangement.

• Offer price: S\$0.37 per share (comprised of S\$0.31 cash consideration and S\$0.06 special dividend).
• The effective consideration will not be adjusted for the interim dividend of S\$0.01 per share declared for 1H 2025.
• The offeror is a Singapore-incorporated SPV owned by LSY (55%) and TYO (45%), supported by Savills Singapore.
• The Founders, via their investment entities Skky Investments and Lezo Holdings, collectively control nearly 80% of Alpina’s shares.
• Rationale: The deal provides liquidity at a premium for shareholders in a thinly traded stock, and positions the group to leverage Savills’ global network and expertise.
• At the offer price, Alpina is capitalized at S\$70 million, trades at 13x annualized PE, and yields 5.3% annualized dividends. The offer represents a 23% premium to its IPO price and values the company at 10x its historical peak profit.
• Recommendation: The exit price appears fair, but investors should await the independent financial adviser’s opinion before acting.

Sector and Stock Highlights: Dividends, Valuations, and Yields

Macro Market Insights: China’s Mega Airbus Order and Global Economic Trends

• Global macro: Price pressures remain contained. US inflation is cresting, Europe’s is still muted, the UK remains elevated, and Japan’s has eased due to JPY appreciation.
• Global growth momentum is improving but still low, with trade tensions and tariffs suppressing upside for many economies. Manufacturing export order proxies remain in contraction.
• Outlook: A scenario of narrowly avoided global recession plus persistent disinflation could support longer duration bonds and equity proxies like tech and AI. Defensive asset allocation is recommended amid high valuations and looming risks.
• China news: China’s largest airlines (China Southern, Air China, China Eastern) are dividing up a massive 500-plane order from Airbus, which will be one of the largest ever for the nation and underscores China’s reliance on Western aviation technology despite ambitions for homegrown Comac jets. The formal announcement is pending, delayed by geopolitical considerations.

Notable Share Transactions and Buybacks

Significant company buybacks include Keppel Ltd (340,000 shares at $8.50), OCBC (250,000 shares at $16.78), and UOB (100,000 shares at $35.55).

Institutional and Retail Fund Flows: Sector-Wise Trends

Key highlights:

• Institutional net buy for the week of 25 August stood at +S\$21.6m, up from -S\$17.5m the prior week.
• Retail investors were net buyers at +S\$33.7m versus -S\$0.9m previously.
• Top institutional net buys: Singtel (S\$55.1m), Keppel (S\$33.3m), Jardine Matheson (S\$27.5m).
• Top retail net buys: DBS (S\$47.4m), Sembcorp Industries (S\$32.8m), OCBC (S\$30.7m).
• Top institutional net sells: OCBC (-S\$33.0m), DBS (-S\$31.6m), ST Engineering (-S\$28.0m).
• Top retail net sells: Keppel (-S\$38.9m), Singtel (-S\$36.3m), Seatrium (-S\$17.3m).

Upcoming Dividends and Special Distributions: September 2025 Calendar

SGX Watch-List: 2025 Additions and Existing Entrants

The following companies are currently on the SGX Watch-List, notable for investors monitoring compliance and turnaround opportunities:

• Recent additions (since 2H2023): Addvalue Technologies, Renaissance United, Telechoice, Tiong Seng Holdings, Global Invacom Group, Green Build Technology, Keong Hong, Camsing Healthcare
• Other notable names: Amos Group, Ascent Bridge Ltd, ASTI Holdings, British And Malayan Holdings, CH Offshore, Cosmosteel, Datapulse Technology, Debao Property, Eneco Energy, Full Apex (Holdings), GRP Limited, Interra Resources, Intraco Ltd, IPC Corp, Jadason Enterprises, Jasper Investments, Manufacturing Integration Technology, Metis Energy, Raffles Infrastructure, Shanghai Turbo, SMI Vantage, Trek 2000 Intl, United Food Holdings, USP Group Limited

Conclusion: Opportunities and Caution Ahead for Singapore Investors

September 2025 presents a dynamic landscape for Singapore equity investors, with significant corporate actions (Keppel’s asset monetization, Alpina’s privatization), sectoral shifts in fund flows, and a robust dividend calendar. Institutional and retail behavior diverges across sectors, highlighting opportunities for tactical allocations. Macro headwinds and global uncertainties persist, but Singapore’s market fundamentals and selective stock strengths offer compelling prospects for informed investors.