SATS will not proceed with acquiring Singapore Cruise Centre

SINGAPORE — Airport and cruise terminal services provider SATS has decided not to proceed with the acquisition of the Singapore Cruise Centre (SCC), it announced in a statement today (May 12). It made the decision jointly with current owner Temasek Holdings.

SATS and Temasek Holdings decided to terminate the sale and purchase agreement due to market developments in Asia. The non-completion of the acquisition is not expected to have a material financial impact on SATS, said the statement.

“This announcement does not in any way alter SATS’ commitment to grow our successful operations at the Marina Bay Cruise Centre and to promote Singapore as a homeport, nor our ambition to pursue regional cruise opportunities,” said Mr Alex Hungate, President and Chief Executive of SATS.

It was reported in September last year that SATS wanted to buy the SCC for S$110 million. Had the acquisition gone ahead, SATS would have owned the international cruise terminal and regional ferry terminal at HarbourFront Centre as well as the Tanah Merah and Pasir Panjang ferry terminals through Singapore Cruise Centre, locking its hold on the market by adding these to its Marina Bay Cruise Centre Singapore.

SATS had then said that it saw opportunities to grow further given the then positive outlook for the cruise sector, driven by encouraging trends in both cruise ship arrivals and passenger throughput.