Singapore, Feb 9, 2026, 15:09 SGT — Regular session
Keppel Ltd (SGX:BN4) climbed 3.7% to S$12.07 in Monday afternoon trading, pausing just below its S$12.12 high. The Singapore asset manager continued to rally after its earnings release and dividend announcement. 1
Keppel’s re-rating is grabbing attention right now—it’s become a kind of bellwether for Singapore investors. The group’s overhaul means it’s relying more on fee income and locked-in projects, so the question is whether it can keep up the performance as the easy gains slip away.
The move brings renewed attention to the “variable” portion of Keppel’s shareholder returns. A chunk of that’s linked to asset sales, not regular earnings, raising fresh questions about how stable the company’s cash flow really is if investors start to withhold their trust.
Phillip Securities bumped its target price up to S$13.80 and stuck with a “buy” recommendation, according to The Business Times. CGS International also raised its target, now S$13.52, maintaining an “add” rating. Citi Research, meanwhile, held its “buy” stance at a S$13.17 target. Analyst Brandon Lee noted Keppel looked “seemingly confident” about cashing in on non-core assets and hitting its funds-under-management target. Over at Phillip Securities, Paul Chew highlighted fee growth from asset management, potential rate cuts, cost discipline, and the upcoming Keppel Sakra Cogen plant, which should be up and running in the first half of 2026. 2
Keppel last week reported “New Keppel” net profit up 39% for the year ended Dec. 31, hitting S$1.1 billion. Funds under management reached S$95 billion, an 8% increase. The board proposed a total FY2025 payout of roughly 47 Singapore cents per share, which breaks down to a final 19-cent dividend and an additional 13-cent special dividend — that’s 2 cents in cash plus a Keppel REIT unit for every nine Keppel shares held. The company noted that special dividends are tied to 10%–15% of completed asset monetisation. “Energy and connectivity solutions” are where Keppel’s focus lies now, CEO Loh Chin Hua said, citing “increasing digitalisation and the AI wave.”
Keppel’s “FUM” refers to the client and partner funds it oversees, with bigger FUM numbers typically supporting more reliable fee streams. The company’s term “asset monetisation” basically means selling off non-core holdings or stakes to free up capital—and, within its system, potentially putting money toward special dividends.
Singapore blue chips rarely hand out special dividends like this, especially the kind split “in-specie” with listed units alongside cash. Here, shareholders get Keppel REIT units straight into their hands. Some might keep those for the yield. Others will likely sell, and that could jolt trading flows in both names, at least for now.
Still, there are cracks in the thesis. Should rate cuts slip past forecasts or asset sales hit a snag, the payout angle loses steam and defending the valuation becomes tricky. Rollouts for fresh plants and project builds? Standard risks: delays and unexpected costs.
Keppel’s annual general meeting lands on April 17, setting up the next big date for investors: April 28, the record date that decides who qualifies for the final and special FY2025 dividends. Payout is scheduled for May 8, the company said. 3
