Keppel unlocks S$354m via strategic deal for Saigon Sports City - InforCapital

Keppel Ltd. has secured approximately S$354 million in cash proceeds through a strategic partnership that advances its asset-light strategy, while retaining a 30% stake in the Saigon Sports City integrated township project in Ho Chi Minh City, Vietnam.

Under amended terms first set in September 2024, HTV Dai Phuoc Company Limited and Vinobly Investment Real Estate Joint Stock Company will collectively acquire a 70% equity stake in Saigon Sports City Limited, the project’s developer. The proceeds comprise both the stake sale and repayment of a shareholder loan, and are expected to deliver a net gain of S$114 million for Keppel, including remeasurement gains on the retained stake.

The revised deal structure accelerates timelines, reduces execution risk by having local partners handle remaining construction and pre-sales approvals, and moves expected completion forward to Q4 2025, pending Vietnamese regulatory clearance for the equity transfer.

Post-transaction, Keppel will continue to play a central role in project management and development, benefiting from recurring income streams linked to master planning, design, and execution. The 64-hectare township will include Vietnam’s first integrated sports, entertainment, and lifestyle hub, along with over 3,000 premium homes.

The deal exemplifies Keppel’s pivot toward an asset-light capital model, where strategic stakes are divested to local partners while retaining operational involvement. This approach aligns with similar transactions in Asia’s real estate sector:

• In 2025, CapitaLand Development sold a 60% stake in its One Holland Village mixed-use project in Singapore to a consortium of institutional investors, freeing up capital for other developments while maintaining management control.
• Frasers Property partnered with Thailand’s TCC Group in 2024 to co-develop a large-scale industrial township in Chonburi, divesting 50% equity while overseeing project execution.
• Vietnam’s Novaland brought in global infrastructure investors for its Aqua City township, securing over US$500 million in fresh capital while retaining operational rights.
• Hongkong Land executed a partial divestment of its West Kowloon office tower in Hong Kong to mainland Chinese investors in 2025, allowing capital recycling into new mixed-use sites in Singapore and Jakarta.

Keppel’s model offers three strategic advantages: faster monetisation of capital, lower development risk through local partnerships, and retention of long-term revenue streams via operations and asset management. With more than 30 years of experience in Vietnam, Keppel is positioning Saigon Sports City as a smart, sustainable landmark aligned with Vietnam’s urban development goals.