Temasek to establish three new investment entities from April 2026 in major restructuring

SINGAPORE: Temasek Holdings announced on 28 Aug 2025 that it will reorganise its operations into three entities in one of the largest structural changes in its 51-year history. The new entities – Temasek Global Investments (TGI), Temasek Singapore (TSG) and Temasek Partnership Solutions (TPS) – will each manage distinct portfolio segments. Executive director and chief executive officer Dilhan Pillay said the changes are designed to prepare a new generation of leaders to take the firm into the future. “What we want to do is to make sure that we test the next generation and prepare them to take leadership of the company, and for them to chart the course for 2040... You can call this our own '4G',” Pillay told reporters at a media briefing.

Leadership appointments announced

Temasek’s chief financial officer Png Chin Yee, 49, will take on the role of president of TSG from 1 Apr 2026, in addition to her current role.

TSG will manage investments in Singapore firms, including DBS and Singtel, which make up 41 per cent of Temasek’s S$434 billion portfolio as at 31 Mar 2025. Temasek highlighted that its Singapore portfolio companies generate about S$200 billion in revenue and employ over 160,000 people locally. In parallel, Nagi Hamiyeh, 56, head of Temasek’s business in Europe, the Middle East and Africa, will be appointed president of TGI next April.

Based in Paris, he will oversee international investments, which account for 36 per cent of the portfolio, including Temasek’s 25 per cent stake in Hong Kong’s AS Watson Holdings. Pillay emphasised that both leaders had proven themselves in demanding roles. Hamiyeh led the portfolio development group during the Covid-19 pandemic, while Png reshaped Temasek’s financial services portfolio from being bank-centred to including non-bank players.

Temasek Partnership Solutions under review

The third entity, Temasek Partnership Solutions, will undergo a strategic review and will not yet have a designated chief executive or president. TPS will be overseen by an operating committee in coordination with Gabriel Lim, CEO-designate of Seviora Holdings.

Seviora, which manages about 31 per cent of TPS, is part of Temasek’s stable of asset management firms. Lim, a former permanent secretary, joined Temasek in October 2024 and will officially take on his Seviora role from 1 Sep 2025. Pillay clarified that Lim will not head TPS, stating: “Gabriel can’t double-hat as CEO or president (of TPS); he has a big enough role at Seviora.” TPS manages Temasek’s co-investments, Vertex Holdings, and various asset managers with over S$90 billion of assets under management.

Senior leadership reshuffle

As part of the wider reorganisation, Temasek International deputy CEO Chia Song Hwee, 62, will be promoted to co-CEO from 1 Oct 2025. From next April, Chia will also serve as CEO of TGI and deputy chairman of TSG and TPS. This follows Temasek’s previous major restructuring in 2011, which created Temasek International as the company’s management arm. Current Temasek International chairman Lee Theng Kiat, 72, will step down in April 2026, to be succeeded by Pillay, who will also chair the three new entities.

Returns compared with global indices

Temasek said the reorganisation is intended to strengthen the company in an “ever-changing landscape” and enhance returns. As at 31 Mar 2025, Temasek recorded a 10-year total shareholder return (TSR) of 5 per cent, trailing the Straits Times Index’s 6 per cent over the same period. While it outperformed the MSCI AC Asia ex-Japan index at 4 per cent, it was significantly below the MSCI ACWI’s 9 per cent. Over 20 years, Temasek delivered a 7 per cent TSR, matching or beating the chosen benchmark indices in some cases but falling behind global averages. The Singapore government, Temasek’s sole shareholder through the Ministry of Finance, has reiterated that Temasek is not a portfolio fund manager, but an active investor. In August 2023, Chee Hong Tat, then senior minister of state for finance, noted that MSCI indices are not direct benchmarks for the company. Returns from Temasek, alongside those of sovereign wealth fund GIC and the Monetary Authority of Singapore, make up the net investment returns contribution, which accounts for about 20 per cent of the national Budget. The performance of these entities is therefore a key factor in sustaining Singapore’s fiscal resources.

Recent investment setbacks

Temasek has faced criticism in recent years over several failed investments. Among these was its investment in Indonesian aquaculture startup eFishery, which reportedly suffered hundreds of millions of dollars in losses between 2018 and 2024, amid allegations of financial misrepresentation. Another high-profile setback came with the collapse of cryptocurrency exchange FTX in 2023, which forced Temasek to write down its US$275 million investment.