So literally the day after National Day, Temasek dropped this bombshell of a news: They will not be proceeding with the privatization / partial offer of Keppel Corp.

It’s a pretty big deal with knock on implications for the rest of Singapore’s stock market, so I wanted to share some quick thoughts.

Basics: Temasek makes S$4.1 billion bid to take control of Keppel Corp

But first, the background.

In October 2019, Temasek launched a S$4.1 billion bid to take control of Keppel Corp.

Before this, Temasek already owned 20.5% of Keppel Corp.

If the takeover is successful, Keppel would hold 51% of Keppel Corp. This majority stake would given them lots of control over the future direction of Keppel Corp.

The offer was for S$7.35 in cash for each Keppel share, which is a premium of nearly 26% over the then last traded price of S$5.84.

Of course, the rumour mill went into overdrive, and the prevailing thinking was that after Temasek

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