The analyst’s optimism is fuelled by the imminent completion of Sembcorp’s acquisition of Alinta Energy, an Australian electricity generator and gas retailer. To recap, Sembcorp announced that it had entered into an agreement to purchase Alinta for an enterprise value of A$6.5 ($5.6) billion in December 2025.
With the Middle East conflict prolonging, countries have been scrambling to find alternative sources of energy. One alternative fuel is coal. Despite being polluting, coal is relatively cheap and reliable, suitable for supporting nations as they seek to mitigate the energy crisis.
Against this backdrop, UOB Kay Hian (UOBKH) analyst Adrian Loh is reinforcing his confidence in Sembcorp Industries. In his report dated Apr 15, Loh is maintaining his “buy” call at a higher target price of $8.06 from $7.10.
