Analysing large corporations is never an easy task, but the method we like to use is to break down the organisation into component parts in order to look at each carefully.

The same method can be used effectively for conglomerate companies as well. A “conglomerate” is defined as a large company with many disparate divisions that may or may not be totally unrelated to one another.

Let’s have a look at one of the more well-known blue-chip conglomerates in Singapore – Keppel Corporation Limited(SGX: BN4).

Investors can trace the roots of the company back to 1968 when Temasek Holdings, Singapore’s very own sovereign wealth fund, founded Keppel Shipyard back then. Since then, the group has moved on to expand its business into various divisions, and this conglomerate now boasts a market capitalisation of S$12.3 billion.