OUR BUSINESS MODEL

Our business model, underpinned by strong collaboration across verticals, provides a robust eco‑system that allows us to create and capture value from all parts of the Group. From the time an asset is being created till after its injection into a Keppel‑managed trust or fund, our business model produces multiple income streams and enables us to create and capture value across the value chain.

To fuel Keppel’s growth, we are also expanding the Group’s capital base, bringing on board like‑minded co‑investors through our private funds to seize opportunities and accelerate asset creation without putting a strain on our balance sheet. We can also turn our assets efficiently through our business model, unlocking value and recycling capital to achieve the best risk‑adjusted returns for our stakeholders.

Design and Build

The Group has a strong track record in designing and developing high‑quality real assets including offshore and onshore infrastructure, residential and commercial properties, data centres, power plants and more.

Private Funds

Through the private funds that it creates and manages, Keppel can also bring on board investors, such as pension and sovereign wealth funds, to co‑invest in the development of assets across its business verticals. This expands Keppel’s capital base to seize opportunities while it earns recurring fees from managing the private funds.

Project‑based income Recurring income

Project‑based income

Recurring income

1. Turnkey

The Group also sells products and provides turnkey solutions to its customers. Some of the assets created, such as vessels and homes, will be handed over to customers when they are completed. In this phase of asset creation, business units can earn development margins from the sale of their solutions.

2a. Own and Operate

Keppel owns and operates many of the assets it creates which can be retained as investments, yielding long‑term, steady cashflows and recurring income. Business units can earn fees from leasing out and operating such assets. They can also earn fees from rendering project and asset management services to the private funds created by Keppel.

2b. Stabilise and Monetise

The assets held as investments by Keppel and its private funds contribute revaluation gains to the Group. As these assets mature and are de‑risked and stabilised, the Group can monetise them through divestments to its listed REITs and Trust as well as third parties. This process for turning assets enables the Group to pursue the best risk‑adjusted returns by unlocking value and recycling capital to seize new growth opportunities.

2c. REITs and Trust

The Group sponsors and manages real estate, data centre and infrastructure trusts across its business lines, which it leverages as platforms to recycle capital. Mature assets are well suited to the REITs and Trust, whose investors seek stable, recurring income.

The injection of assets to the REITs and Trust helps to grow the total portfolio of assets managed by the Group.

The Group will continue to earn fee income from asset management, as well as the operation and maintenance of the assets.

In addition, through its stakes in the listed vehicles, the Group continues to benefit from the performance and contributions of the REITs and Trust.