SINGAPORE Law and Practice Contributed by: Benjamin Gaw and Joel Tan, Drew & Napier LLC
1. Trends 1.1 M&A Market
However, outbound M&A activity experienced a slow - down, declining to a decade low of USD22.6 billion, representing a 7.2% decrease from 2024. This down - turn may be attributed to persistent global headwinds, including geopolitical tensions, valuation challenges, interest rate uncertainty, and broader regulatory and political risks. 1.3 Key Industries In Singapore, the energy and power sector dominated deal value, accounting for 17.4% of the market with deals totalling USD12.2 billion, approximately dou - ble the level recorded in 2024. The real estate sector ranked second, with total deal value of USD10.3billion. Close behind was the high technology sector, with deals valued at USD9.8 billion, representing a 37.6% increase from 2024. Generally, the acquisition of a company in Singapore can be effected by way of a share acquisition or the acquisition of the business or assets of the company. An asset or share acquisition is commonly effected by entering into a sale and purchase agreement. Before executing the agreement, parties may enter into a let - ter of intent or term sheet, which will typically set out the agreed key terms of the transaction. Such a pre - liminary document may be expressed as non-legally binding, except for certain obligations such as confi - dentiality or exclusivity. Other ways of acquiring a company’s shares in Sin - gapore include: 2. Overview of Regulatory Field 2.1 Acquiring a Company Asset or Share Acquisition • making a general offer for a company’s shares pursuant to the Singapore Code on Takeovers and Mergers (Takeover Code); • entering into a scheme of arrangement under of the Companies Act 1967, Section 210; and • entering into a scheme of amalgamation under the Companies Act 1967, Section 215A-K.
Singapore’s M&A activity slowed down in 2025, with deal values reaching USD70.4 billion – a 9.1% decline from the previous year. This decline reflects the regional slowdown as the value of M&A deals in South-East Asia fell 16% in 2025. In contrast, global M&A activity rebounded strongly, with deal values increasing by 36% in 2025. 1.2 Key Trends Singapore’s M&A deal volume experienced a decrease, with the number of announced transactions falling by 22.1% year-on-year to the lowest in the decade. In 2025, 15 deals worth over USD1 billion were announced, with an aggregate value of USD27.8 bil - lion. However, M&A activity slowed down towards year-end, with only one mega-deal announced in the fourth quarter. Deals targeting Singapore companies in 2025 reached USD26.9 billion, an 8.4% increase from 2024. Of these transactions, inbound M&A activity made up USD19.2 billion, representing a 16.0% increase from 2024. A notable transaction in the region is Temasek’s sale of its 35% stake in Schneider Electric India, an Indian joint venture, to the French majority owner, Schneider Electric, for EUR5.5 billion (SGD8.18 billion). Another significant transaction was Simba Telecom’s acquisi - tion of M1 from Keppel Ltd for SGD1.43 billion. The deal marks the first telecommunications consolidation in Singapore’s history, following years of liberalisation that had driven down mobile and fixed broadband prices. Other significant transactions included Cuscaden Peak Investments’ sale of The Clementi Mall for SGD809 million to an entity linked to The Elegant Group, City Developments’ sale of its 50.1% stake in the South Beach mixed-use project to Malaysia’s IOI Properties Group for about SGD834.2 million, and Keppel REIT’s acquisition of Hongkong Land’s sub - sidiary’s one-third stake in Marina Bay Financial Cen - tre Tower 3 for SGD1.453 billion.
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