SCI has 1.3GW of energy assets in the UK, consisting of energy generation and battery storage. The UK is not a significant contributor to SCI’s overall portfolio of energy assets, which are concentrated in Southeast Asia, China and India, Chua highlights.
PhillipCapital analyst Terence Chua has kept his “accumulate” call on Sembcorp Industries (SCI) with an unchanged target price of $3.68, expecting the UK consumer energy bills cap to have a subdued impact on the company.
In his Sept 15 report, Chua notes that the UK prime minister Liz Truss has capped consumer energy bills at £2,500 ($4,011) for two years to cushion rising energy prices. For businesses and public sector bodies, a sixth-month scheme will offer equivalent support to that for households, with a review in three months about how it could be better targeted.
