SINGAPORE conglomerate Keppel Corp has unveiled a 10-year roadmap that sharpens its focus on four key segments and on growing the units as an integrated business, with an eye on mergers and acquisitions and divestments of selected assets.
Under Vision 2030, which was a year in the making and was completed last month, the diversified firm has redefined its various businesses into four areas – energy and environment, urban development, connectivity and asset management.
Keppel, one of the world’s largest oil-rig makers, also wants to pivot away from lumpy project-based earnings towards recurring income, in hopes of being rewarded with a market re-rating. It also aims to crank up its efforts to meet a 15-per-cent return on equity (ROE) target.
Keppel chief executive Loh Chin Hua told The Business Times: “This plan is a big step up (from Vision 2020 adopted in 2014). The Keppel of 2014 is very different from the Keppel of 2020. Much water has gone under bridge. My colleagues are bolder now.