Singapore, Jan 25, 2026, 15:03 SGT — Market closed
- Keppel closed Friday 1.2% higher, finishing at S$11.02 on the Singapore Exchange
- Investors are sizing up the cash flow prospects from Keppel’s Bifrost subsea cable project
- The group is set to release its full-year results on Feb. 5
Keppel Ltd shares ended Friday at S$11.02, rising 1.2%. Investors are now focused on whether the stock can build on these gains once Singapore markets reopen on Monday. 1
This shift is significant as Keppel aims to reshape its image from a traditional conglomerate to a savvy manager and operator of infrastructure assets focused on capital recycling.
Connectivity plays a central role in this pitch. Subsea cables, data centres, and the power supporting them have become the main focus for investment and oversight, driven largely by AI-related demand that’s ramping up traffic and capacity needs.
Keppel revealed late last week it inked a binding term sheet with a “global telecommunications company” for a 25-year contract to use a fibre pair on its Bifrost Cable System. While the final details are still being worked out, the definitive agreement is aimed for Q2 2026. Manjot Singh Mann, Keppel’s CEO for connectivity, noted that stronger interest from telcos and cloud providers helped improve pricing terms. The deal is structured as an “indefeasible right of use,” granting the customer exclusive, long-term access to part of the network capacity. Keppel said this transaction won’t significantly affect earnings or net tangible assets this financial year. 2
Friday saw broad gains in the market. Singapore shares surged, lifting the Straits Times Index to a new intraday record before closing 1.3% higher at 4,891.45, according to The Straits Times. 3
Risk appetite in the region picked up following the Bank of Japan’s decision to hold rates steady, pushing Asian stocks higher, according to a Reuters markets report. 4
For Keppel, the key on Monday is straightforward: will the Bifrost news continue to attract buyers, or will the stock slip back in line with the wider index? Confirmation of follow-on deals for the remaining fibre pairs could quickly settle the question.
But there’s a clear snag. A term sheet isn’t a binding contract, and the financial details can still change during talks — particularly around operating and maintenance expenses — while demand forecasts for cloud and AI spending can drop fast if customers cut back on budgets.
Keppel is set to release its second-half and full-year 2025 earnings on Feb. 5, before markets open, per a company notice. The same notice also outlines the results dates for its listed REITs, which will come out in the days leading up to that. 5
For now, Keppel’s share price will probably hinge on two factors: fresh updates on Bifrost monetisation and how global risk markets behave as investors adjust positions heading into the new week.
