Keppel Infrastructure Trust (KIT)

We are pleased to present Keppel Infrastructure Trust (KIT)’s Annual Report and Sustainability Report for 2024: Growing Sustainable Value KIT benefits from an investment strategy that leverages the megatrends of rapid urbanisation, energy transition and digitalisation. With a portfolio of critical infrastructure assets and businesses that positively impact our community, we are backed by unique expertise and strategic partnerships to build a more resilient future while delivering value for our investors. Positioned in the right sectors at an opportune time, KIT is poised to continue growing sustainable value for our Unitholders. Click https://lnkd.in/gPpeC7tZ to download the report. #KIT #annualreport #infrastructure

Keppel Infrastructure Trust (KIT) delivered a strong set of results for the year, with Funds from Operations for FY 2024 recording solid growth of 10.3% year-on-year (YoY) to $282.0 million. Highlights ▪️ DPU for FY 2024 of 3.90 cents represents 1% YoY growth over FY 2023 DPU of 3.86 cents (excluding the special distribution) ▪️ Expansion of KIT’s portfolio across its core business segments with three acquisitions in FY 2024, growing AUM to $9.0 billion as at 31 December 2024 ▪️ Record EBITDA achieved at Ixom, City Energy and Philippines Coastal, backed by the Trustee-Manager’s portfolio management capabilities to drive value creation The Trustee-Manager will continue to leverage on secular growth trends of energy transition and climate change as well as rapid urbanisation to expand its portfolio, and remain focused on growth and value creation to deliver sustainable returns to Unitholders. Read more on https://lnkd.in/g6DGA2va #KeppelInfrastructureTrust #KIT #infrastructure 

Kevin Neo, CEO of Keppel Infrastructure Trust, joined the #UOBGlobalMarketsEconomicForum as a panellist to share his perspectives on how businesses in ASEAN stay agile amidst a volatile macroeconomic environment. Kevin discussed the new sustainable opportunities in the region and how KIT is positioned to navigate ongoing external uncertainties while ensuring long-term growth. More than 350 regional clients of UOB attended the forum to hear insights from Guests-of-Honour Professors Tommy Koh and Chan Heng Chee, as well as other industry experts and business leaders on what lies ahead for ASEAN economies in 2025. #KeppelInfrastructureTrust #KIT #UOBGMEF

The proposed acquisition of a 50% equity interest in Marina East Water Pte. Ltd., which owns the Keppel Marina East Desalination Plant (KMEDP) was approved by KIT’s Unitholders at an Extraordinary General Meeting held on 11 December 2024. We appreciate the trust and unwavering support of our Unitholders, whose approval is a testament to their confidence in KIT and the Trustee-Manager’s strategic vision. KMEDP was named 'Desalination Plant of the Year' at the Global Water Awards 2021. For its outstanding design features and exceptional Active, Beautiful, Clean (ABC) standards, KMEDP became the first industrial plant in Singapore to be awarded the ABC Waters Certification (Gold) by PUB in October 2019. Aligned with its vision to build an infrastructural foundation for a sustainable future, KIT continues to play a critical role in contributing to Singapore’s water security. The strategic acquisition of KMEDP will further enhance the strength and resilience of KIT’s portfolio and support our goal of generating sustainable returns that will enhance total returns for Unitholders. #EGM #KIT #KeppelInfrastructureTrust #infrastructure #KMEDP #Desalination

This morning, we announced the proposed acquisition of a 50% equity interest in Marina East Water Pte. Ltd. (MEW), which owns the Keppel Marina East Desalination Plant (KMEDP), at an enterprise value of $323 million. Upon the expected completion of the proposed transaction, KIT and seller Keppel Ltd will each hold a 50% joint-controlling stake in MEW. KIT will receive 100% of the economic benefit from KMEDP, while the operations and maintenance (O&M) of KMEDP will continue to be performed by Keppel Ltd’s Infrastructure Division until 2045. KMEDP was named 'Desalination Plant of the Year' at the Global Water Awards 2021. For its outstanding design features and exceptional Active, Beautiful, Clean (ABC) standards, KMEDP became the first industrial plant in Singapore to be awarded the ABC Waters Certification (Gold) by PUB in October 2019. Mr @Kevin Neo, CEO of KIFM, said, “The strategic acquisition of the Keppel Marina East Desalination Plant, which is a high quality and energy efficient asset, will further enhance the strength and resilience of KIT’s portfolio, as well as support KIT’s environmental, social and governance goals. The facility is one of the key assets that contribute to Singapore’s water security and has a long-term contract with a strong counterparty, which will bolster KIT’s distributable income as well as support our goal of generating sustainable returns that will enhance total returns for Unitholders.” The transaction is expected to be completed by 1Q 2025, subject to the conditions precedent, including the receipt of regulatory approvals as well as approvals by Unitholders at an extraordinary general meeting, details of which will be provided in due course. KIFM intends to fund the investment with internal sources of funds and existing debt facilities of KIT. Upon completion of the transaction, KIT’s assets under management will grow from S$8.7 billion as at 30 Sep 2024 to approximately S$9.0 billion. Read more on https://lnkd.in/gUc2iBSr #KeppelInfrastructureTrust #KIT #KMEDP #Desalination 

9M 2024 DI was underpinned by contribution from new acquisitions and the resumption of contributions from the Keppel Merlimau Cogen Plant post capital restructuring. As an active manager of its portfolio, KIT further announced the sale of its entire equity interest of 50% in Philippine Coastal Storage & Pipeline Corporation for an enterprise value of USD460m (S$598m) to align with its long term strategy to focus on lower carbon energy transition segments. Upon completion of the transaction in early 2025, KIT is expected to realise a gain of USD21.1m (S$27.5m). KIT’s 9M 2024 Distributable Income (DI) was S$106.1m, versus 9M 2023 DI of S$266.1m which included a special distribution of S$131.2m.  Adjusting for one-offs and timing differences, 9M 2024 DI would be S$124.0m, 11.2% lower year-on-year. Positive contribution from new acquisitions of S$20.8m was offset by lower contribution from Senoko WTE (S$6.4m) and lower fuel cost over-recovery at City Energy (S$9.3m); the remaining variance was due to higher growth capex of S$20.2m mainly for tank builds at Ixom on the back of stronger demand. On the capital management front, KIT issued S$200m 4.90% perpetual securities and raised S$200m via placement during the quarter, fully repaying the term loan for the financing of the Ventura acquisition. With an optimised capital structure, healthy net gearing of 40.1% as at 30 Sep 2024 provides comfortable debt headroom to support KIT’s growth. Read more on https://lnkd.in/gYCNsk3d #KeppelInfrastructureTrust #KIT #infrastructure 

Keppel Fund Management & Investment, together with its listed REITs and Trust, Keppel REIT, Keppel DC REIT , Keppel Pacific Oak US REIT (KORE) and Keppel Infrastructure Trust (KIT) recently held an Investor Day in Tokyo, hosted by the Bank of America. During the panel discussion, the respective CEOs shared insights on the strategic direction for their entities as well as perspectives on market developments and growth prospects. Management also engaged in in-depth discussions with investors over 1:1 meetings. #SREITs  #REITs #Trust #USofficeREIT #infrastructure #datacentre #office #connectivity #realestate #assetmanager

Focusing on growth along the theme of sustainable infrastructure, KIT continued its portfolio expansion with the completion of the Ventura acquisition and first three phases of the German solar portfolio in 1H 2024, driving growth in assets under management (AUM) to $8.8 billion as at 30 June 2024. KIT delivered a steady set of results with higher underlying 1H 2024 Distributable Income (DI). 1H 2024 DI of $91.0 million was largely due to timing differences as well as one-offs. Factoring in these one-offs and timing differences, 1H 2024 DI after adjustments was $117.8 million, 2.1% higher year-on-year. 1H 2024 DI was underpinned by steady operational performance, the resumption of contributions from the Keppel Merlimau Cogen Plant (KMC) post capital restructuring as well as contributions from new acquisitions completed in 1H 2024, which contributed $26.9 million or 17.8% of Asset Distributable Income for 1H 2024. Accordingly, the Trustee-Manager declared Distribution per Unit (DPU) of 1.95 cents, an increase of 1% year-on-year.  The 1H 2024 DPU translates to an annualised distribution yield of 8.3%, based on KIT’s closing price of $0.470 as at 28 June 2024. Read more on https://lnkd.in/g7kaWfiA #KeppelInfrastructureTrust #KIT #infrastructure 

Keppel’s four listed REITs and Trust participated in the annual REITs Symposium 2024, Singapore’s largest REIT event organised by REITAS (REIT Association of Singapore) , ShareInvestor Pte Ltd and InvestingNote. The in-person event provided attendees with opportunities to learn more about Singapore REITs. During the panel discussion on “Navigating Through Challenges And Unlocking Opportunities”, Ms Sock Cheng Ang, Chief Operating Officer, Keppel Fund Management and Investment, shared how Keppel REIT, Keppel DC REIT , Keppel Pacific Oak US REIT (KORE) and Keppel Infrastructure Trust (KIT) have remained resilient. She emphasised the entities’ strategies to deliver long-term value to unitholders, notwithstanding the current landscape marked by global headwinds and uncertainties. #Keppel #REITsSymposium #KeppelREIT #KeppelDCREIT #KeppelPacificOakUSREIT #KeppelInfrastructureTrust

KIT’s Adjusted EBITDA increased by 3.8% year-on-year to $130.7 million in 1Q 2024, supported by contributions from the Keppel Merlimau Cogen Plant (KMC) and the addition of the German Solar Portfolio to the KIT portfolio. The KIT portfolio continues to deliver strong operational performance across its businesses and assets and is largely insulated from inflation and higher costs due to cost pass-through mechanisms and availability-based models. The Trustee-Manager remains focus on growth and value creation. In 1Q 2024 alone, the Trustee-Manager has announced/completed transactions that will potentially add 0.62 cents to KIT’s FY 2023 ordinary Distributions per Unit (DPU), coming from KMC, Ventura and the German Solar Portfolio, translating to a significant accretion of over 16% based on FY 2023’s pro forma DPU. Read more on https://lnkd.in/gD7JPbC9 #KeppelInfrastructureTrust #KIT #infrastructure