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Keppel to divest six oil rigs via new fund for S$1.2 billion

Published July 28, 2026 at 11:02 PM UTC

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Keppel Corporation, a Singapore-based global asset manager, has announced plans to divest six operational oil rigs through a new private fund, Keppel Offshore Fund (KOF), for approximately S$1.2 billion. This move is part of Keppel's broader strategy to monetize up to 10 legacy rigs, aiming to unlock capital for reinvestment and reduce debt. The transaction is expected to add about S$3.9 billion to Keppel's funds under management. Additionally, Apollo Global Management has agreed to invest US$1.5 billion into KOF, further strengthening the fund's financial position. Keppel intends to progressively complete and potentially divest four additional rigs to KOF between 2027 and 2028, which could generate approximately US$988 million in cash proceeds. The divestment is anticipated to result in an accounting loss of approximately S$92 million in Keppel's first-half 2026 financial results, scheduled for announcement on July 30, 2026.