Keppel Corporation, a leading asset manager and operator, has surged ahead in its transformation journey, reporting significant achievements in 2024 despite market headwinds. CEO Loh Chin Hua outlined the company’s successes and future ambitions in a New Year’s address to employees.

Record Asset Monetisation and FUM Growth

Keppel unlocked S$1.5 billion through its asset monetisation programme in 2024, a sharp increase from the S$950 million achieved in 2023. The company’s funds under management (FUM) also grew by over 54% year-on-year, reaching S$85 billion by mid-2024, with a targeted interim goal of S$100 billion by 2026 or earlier.

“Our transformation has seen us shift from a diverse industrial conglomerate to a horizontally integrated business,” said Loh. “We are now focused on recurring income, leveraging FUM to fund growth, and driving efficiency across operations.”

AI and Digitalisation Drive Efficiency

Keppel has reaped the benefits of digitisation, achieving S$70 million in annual cost savings two years ahead of schedule. Central to these efforts is the development of the Keppel AI Platform (KAI), which promotes the adoption of AI and cloud technologies across its operations and private funds.

Machine learning and AI will play a pivotal role in investment processes and operational improvements. “KAI is key to accelerating our growth, enabling smarter insights and streamlined operations,” said Loh.

Infrastructure Expansion with Global Tech Giants

Keppel is positioning itself as a key player in digital connectivity, with a robust portfolio of 35 data centres across Asia-Pacific and Europe, totaling 650 MW in power capacity. Plans are underway to expand this capacity to 1.2 gigawatts, supported by an additional S$10 billion in FUM growth in its data centre funds.

A recent strategic partnership with Amazon Web Services (AWS) underscores Keppel’s ambitions. The collaboration spans data centres, subsea cables, and renewable energy infrastructure, emphasizing the company’s role as an ecosystem provider rather than merely a service provider.

“This partnership opens doors for future collaborations with global technology leaders,” Loh noted. “We aim to provide sustainable infrastructure solutions for emerging technologies like AI and quantum computing.”

Navigating Geopolitical and Economic Challenges

Despite anticipated challenges in 2025, including heightened geopolitical tensions, Keppel remains optimistic. Tailwinds from the energy transition, digitisation, AI adoption, and alternative real estate demand are expected to sustain growth.

“As we forge ahead, we’re confident in our ability to navigate complexities and seize opportunities to deliver sustainable growth,” said Loh.

Keppel’s proactive steps in asset monetisation, AI integration, and strategic partnerships exemplify its commitment to leading in sustainable infrastructure and technological innovation, setting a benchmark for the industry.

Thank you