Industry News

Retail investors in Singapore have significantly increased their net buying activity, acquiring $487m in shares since the end of 2024.

This marks a substantial rise from the $192m net retail buying recorded in 2024, with the focus shifting towards the Financial Services, Real Estate Investment Trusts (REITs), and Technology sectors.

This trend follows a broader pattern of retail investors buying during weaker market performances and selling during stronger ones.

Over the past five weeks, the 50 Singapore Exchange (SGX)-listed stocks with the highest net retail buying saw an average decline of 2.7%, whilst those with the most net retail selling experienced an average gain of 3.7%.

This behaviour aligns with historical trends, where retail investors tend to buy more during market downturns and sell during upswings. Notably, non-Straits Times Index (STI) stocks such as Keppel REIT, AEM Holdings, and CapitaLand India Trust were among those with the highest net retail buying.

Conversely, stocks like Suntec REIT, Rex International, and Japfa saw the most net retail selling. Despite these trends, some exceptions were observed, with Oversea-Chinese Banking Corporation and Centurion Corporation outperforming the STI, registering gains of 3.4% and 3.1%, respectively, whilst still attracting significant net retail inflows.

The data, based on historical transactions, provides insights into retail investor behaviour but does not predict future trends. It highlights how retail investors have historically reacted to market conditions, offering a glimpse into their strategic shifts in the current economic climate.

Micro, Small, and Medium Enterprises (MSMEs) are pivotal to the economies of Southeast Asia, with Singapore’s SMEs employing two-thirds of the workforce and contributing nearly half of the nation’s GDP.

However, as climate change demands sustainable practices, MSMEs face challenges such as limited access to financing and technical expertise. In response, Singapore’s government has introduced programmes like the Enterprise Sustainability Programme and SMEs Go Digital to aid SMEs in their sustainability journey.

In Indonesia, the Siak Sustainable Creative Centre (Skelas) has launched the Siak Sustainable Business Incubation (Kubisa) programme to support indigenous entrepreneurs in the Siak region of Riau. This initiative focuses on intergenerational collaboration, involving young people in training business owners on digital marketing and product innovation. Kubisa emphasises using locally grown products to minimise environmental impact and empower local communities.

Since its start in 2023, Kubisa has seen growing enthusiasm, with participant numbers tripling in 2024. The programme selected 20 participants, including 17 culinary and three fashion entrepreneurs. Santi Lestari, a participant, noted the programme’s assistance in marketing and packaging her gluten-free product.

Skelas also facilitates connections with investors and governments, organising Demo Days and business matching events. Collaborations with national charities have provided funding of IDR 60 million to 12 selected participants, focusing on those with incomes below IDR 5 million. Cerli Febri from Skelas expressed optimism about the programme’s potential to drive economic and environmental impact in the region.

Singapore’s tech ecosystem experienced a challenging year in 2024, with funding plummeting to $2.1b, a 56% decrease from the previous year’s $4.8b, according to Tracxn’s Annual Report. This marks a stark contrast to the $8.1b raised in 2022, highlighting a significant downturn in investment.

Late-stage funding saw the most dramatic decline, dropping 74.71% to $708m from $2.8b in 2023. Seed-stage investments also fell sharply by 50.6%, reaching £310 million, while early-stage funding experienced a smaller decline of 15.38%, totalling $1.1b.

Despite the overall decrease, certain sectors showed resilience. High Tech funding increased by 4% compared to 2023, although it still represented a 67% drop from 2022 levels. FinTech and Enterprise Applications sectors, however, saw funding decreases of 15% and 29% respectively compared to 2023.

The report also noted a reduction in major funding rounds, with only three exceeding $100m in 2024, down from seven in the previous year. Additionally, three tech companies went public, and the ecosystem saw the emergence of just one new unicorn.

Leading investors such as Wavemaker Partners, Peak XV Partners, and SEEDS Capital continued to support the ecosystem, despite the challenging environment. The year also recorded 39 mergers and acquisitions, with the most notable being PropertyGuru’s acquisition by EQT for $1.1b.

These figures underscore the evolving dynamics and challenges within Singapore’s tech landscape, as it navigates through a period of reduced funding and investment.

NTT DATA launched its Technology Foresight 2025 report, offering a comprehensive roadmap to navigate the upcoming digital transformation. The report, unveiled on 4 February 2025, highlights key trends such as agentic AI, cybersecurity talent wars, and globally adopted frameworks that will define Singapore’s tech landscape.

The report identifies five major trends set to impact businesses: Enhanced Humans, Ambient Intelligent Experiences, Digital Sustainability for Economic Resilience, Cognitive Cloud Convergence, and Accelerated Security Fusion. These trends aim to equip employees with skills for complex tasks, redefine customer engagement through hyper-personalisation, and integrate environmental stewardship with economic growth. Notably, NTT DATA projects global data volumes to reach 175ZB by 2025, emphasising the importance of cognitive cloud convergence.

John Lombard, CEO of NTT DATA APAC, highlighted the report’s new features, including a greater global perspective and actionable guidelines for businesses. “By presenting specific steps businesses can take to link technology to outcomes, NTT DATA provides support to allow companies to move decisively forward even as the pace of change accelerates,” he stated.

The report also showcases case studies, such as the development of “Smart AI Agent™” to enhance productivity and the use of IOWN technology for cloud support. As Singapore’s cyber frameworks become global standards, NTT DATA’s insights offer a crucial guide for businesses to stay ahead.

NTT DATA’s Technology Foresight 2025 will continue to contribute to new business creation and societal transformation, ensuring enterprises remain competitive in a rapidly evolving tech landscape.

Küche, a brand under City Energy, is set to strengthen its presence in Singapore’s private property market by equipping the new ELTA condominium in District 5, Clementi, with its Internet-of-Things (IoT)-enabled kitchen appliances. This development, a collaboration with HC Land (Clementi)—a joint venture between MCL Land and CSC Land Group—marks the third private development in Singapore to feature Küche’s smart appliances.

The installation at ELTA will include over 1,600 units of Küche’s smart gas hobs, hoods, and built-in ovens. Perry Ong, CEO of City Energy, highlighted the significance of this collaboration, stating, “Our collaboration with MCL Land and CSC Land Group represents another milestone as we continue to establish Küche as the go-to choice for new private residential launches.”

Küche’s smart kitchen appliances are designed to enhance modern living with features such as app-controlled gas hobs and ovens, which allow for remote meal preparation. These innovations aim to elevate convenience and safety, aligning with the luxurious living experience that developers seek to offer.

The developers of ELTA expressed their commitment to integrating technology and sustainability, noting that Küche’s appliances align with their vision of providing exceptional features and amenities. The smart gas hob, for instance, caters to various cooking styles and includes safety features like remote shutdown via the iAppliances app.

Prospective buyers can explore these offerings at the ELTA show flat at Prince Charles Crescent starting 7 February 2025. This expansion underscores Küche’s commitment to quality and innovation in Singapore’s competitive smart kitchen appliance market.

Colliers has released its Industrial Q4 2024 report, revealing a slowdown in the growth of Singapore’s industrial rents and prices. The report highlights that whilst the JTC All Industrial rental index saw its 17th consecutive quarter of growth, the annual growth rate for 2024 was 3.5%, a decline from 8.9% in 2023. This moderation is attributed to industrial occupiers exercising cost caution due to high interest rates and escalating operating expenses.

The report indicates that overall rental growth was positive across all segments, driven by the multiple-user and warehouse sectors. However, occupancy rates declined in the multiple-user factory and business park segments. The price index also showed a slowdown, with a 2.1% annual growth for 2024, down from 5.1% in 2023.

Looking ahead, Colliers projects that both rental and price growth will continue to moderate in 2025, with expected growth between 0% to 2%. This is due to weaker demand and a significant increase in industrial space supply, which is anticipated to be more than 2.5 times that of 2024.

Nicolas Menville, Executive Director and Head of Singapore-based Industrial Clients at Colliers, noted, “New industrial developments, equipped with more modern specifications, could encourage more businesses to relocate from older, ageing manufacturing spaces to newer projects.”

Despite the challenges, there is optimism for the sector. The ongoing upturn in the chip cycle is expected to boost investment spending, particularly in the semiconductors, logistics, and advanced manufacturing sectors. This could lead to a gradual increase in leasing activities as market sentiments improve.

Jaden Tan, founder of Singapore-based Exotic Office Solutions, is advocating for the use of office automation to create more inclusive workplaces.

By implementing technology that handles repetitive tasks, Tan believes employees, including ex-offenders and the underprivileged, can focus on skill development and career growth, rather than being confined to menial roles.

Tan, who nearly faced incarceration himself, is passionate about providing opportunities for marginalised individuals.

His company, Exotic Office Solutions, has integrated automation-driven workflows in its operations and those of its clients, earning accolades such as ‘Emerging Brand 2023’ and ‘Best SME Workplace 2024’. This initiative aligns with national reintegration efforts like Singapore’s Yellow Ribbon Project, which supports ex-offenders.

Despite the potential of automation, Tan acknowledges that trust remains a barrier for companies considering hiring ex-offenders.

He suggests that technology can foster transparent environments, helping to build trust between employers and employees. Tan’s personal journey from near-convict to entrepreneur underscores his commitment to a more inclusive business landscape in Singapore.

Exotic Office Solutions, with nearly two decades in the office solutions market, provides bespoke IT solutions and office equipment. The company prides itself on sustainability and strong after-sales service, aiming to build long-term client relationships. Tan’s vision is to leverage technology to break down barriers and create equitable opportunities for all employees.

SEEDS Capital, the investment arm of Enterprise Singapore, has announced the appointment of 20 new partners to co-invest in Singapore-based deep tech startups.

This initiative, under the Startup SG Equity scheme, will see SEEDS Capital allocate $150m over the next three years, aiming to catalyse an additional $300m from private sector partners. The focus areas include Advanced Manufacturing, Pharmbio/Medtech, Agrifood Tech, Sustainability, Spacetech, and Quantumtech.

The addition of these partners expands SEEDS Capital’s network to 52 co-investors, enhancing the technical and commercial expertise available to startups. This collaboration is expected to help startups scale successfully by leveraging international networks and early-growth investment capabilities.

New global partners such as East Ventures from Indonesia, Global Brain from Japan, and HIVEN from South Korea will provide resources and networks to support startups in entering new markets. For example, Paspalis Capital’s presence in Australia’s Northern Territory has already benefited SEEDS’ Spacetech investees like Equatorial Space Systems.

Local investors, including Vickers Venture Partners and Monk’s Hill Ventures, will offer guidance on regulation and scaling within Singapore. “Despite the relative nascency of Singapore’s deep tech landscape, we are excited about our current pipeline,” said Arun Pai, Principal at Monk’s Hill Ventures, highlighting the potential in areas like advanced robotics and AI for healthcare.

Deep tech startups, which often require substantial capital for development, will benefit from the expertise of new partners such as Kurma Partners and Eurazeo. Cindy Khoo, Chairman of SEEDS Capital, expressed enthusiasm for the strong interest from the venture capital community, emphasising SEEDS’ commitment to nurturing deep tech startups.

To date, nearly S$3 billion has been invested in over 330 startups under the Startup SG Equity scheme. SEEDS Capital has also increased its co-investment cap for each deep tech startup from S$8 million to S$12 million, further supporting the sector’s growth.

The 2025 Singapore Real Estate Market Outlook report by CBRE reveals a complex landscape for the country’s property sector, with stabilising inflation and falling interest rates offering some relief.

However, challenges such as geopolitical tensions and a nationalistic economic agenda in the US contribute to a climate of uncertainty.

Moray Armstrong, CBRE Managing Director, noted the mixed signals as Singapore anticipates the URA Master Plan 2025, which will shape long-term land use and development strategies.

Despite these uncertainties, Tricia Song, CBRE Head of Research, emphasised the resilience of Singapore’s real estate market, citing stable demand and limited new supply across various sectors. The report suggests that the market’s stability continues to attract global investors.

In the Core CBD (Grade A) sector, rents are expected to grow by 2% in line with GDP projections, driven by limited supply and demand for quality spaces. However, economic slowdown and high fit-out costs may temper expansionary demand. The logistics sector anticipates a bumper supply in 2025, with nearly 5 million square feet of new space, although pre-commitments are expected to stabilise occupancy and rents.

Retail prime rents are projected to rise by 2% to 3%, supported by tourism recovery, while the residential sector may see a price increase of 3% to 6%. Improved buyer sentiment and lower mortgage rates could lead to more property launches.

CBRE’s survey indicates that investors remain optimistic about Singapore’s real estate, with investment volumes expected to grow by 10% year-on-year in 2025. The industrial and logistics sector remains the top investment choice, with residential assets gaining popularity.

Accuron Technologies, a global precision engineering and technology group owned by Temasek, has acquired a controlling interest in Trymax Semiconductor Equipment, a specialist in plasma-based and UV-based process equipment for semiconductor manufacturers. This strategic acquisition, announced on 4 February 2025, aims to expand Accuron’s semiconductor equipment offerings and bolster its presence in Europe.

The acquisition aligns with Accuron’s long-term strategy to enhance its portfolio in the semiconductor sector, particularly in the Etch & Clean process segment. The deal also opens avenues for collaboration with other companies within the Accuron group. Trymax’s founders, Leo Meijer and Ludo Vandenberk, will continue to manage the company post-acquisition.

“This acquisition is another important milestone for Accuron, enhancing our product offerings and geographical coverage in the semiconductor industry,” said Tan Kai Hoe, CEO and President of Accuron Technologies. The partnership is expected to leverage Accuron’s resources to further Trymax’s growth and global reach.

Pontex Investment Partners, a private equity firm, was a key investor in Trymax since March 2019, aiding its growth and technological advancements. Franck Marra, Partner at Pontex, expressed confidence in Trymax’s continued success under Accuron’s ownership.

With this acquisition, Accuron aims to support Trymax’s management in capitalising on growth opportunities, ensuring continuity and execution of expansion plans. The transaction signifies a new chapter for Trymax, promising enhanced capabilities and customer value in the semiconductor industry.