Broker Name: CGS International
Date of Report: March 27, 2026

Excerpt from CGS International report.

Report Summary

• Keppel Ltd and Simba have extended the deadline for the divestment of M1 to May 21, 2026, likely due to regulatory scrutiny over network infrastructure and cyber security in light of recent cyber-attacks affecting Singapore’s telcos.
• The deal is seen as a re-rating catalyst for Keppel, with completion potentially leading to a special dividend payout and supporting further asset monetisation; however, delays or changes to deal terms to meet regulator concerns pose downside risks.
• Keppel’s financials remain strong, with recurring income streams, dividend upside, and a target price of S\$13.52, representing a potential 10.2% upside from the current price, as well as positive sector and peer comparisons.
• The broker reiterates an “Add” recommendation, highlighting Keppel’s robust operating margins, improving returns, and significant shareholder support, with Temasek, BlackRock, and Vanguard among major holders.

Above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website: https://www.cgs-cimb.com