Eight years ago, we discussed Hyflux perpetual bonds here, putting forward the investment thesis that 6% was good dividend/interest income and how Hyflux had a so-so business model but things should be okay because the Singapore government would support Hyflux as they had done so in the past. That turned out to be a huge mistake. Not only did the government not support Hyflux, she rubbed it in, pushed the proverbial dagger into Hyflux's belly, delivering the fatal blow.

Et Tu Temasek? (Ref: Et tu Brute)

How did things come to such a dire situation?  As described in the post eight years ago, Hyflux's business model relied on winning water projects, which meant that they had no control over the bidding price and also, in subsequent years, their own future revenue. However, as with most Singapore co.s, we are good at managing costs, which allowed us to beat many others...