Government to support SPH restructuring proposal: Iswaran

The Minister for Communications and Information S Iswaran has said the government is willing to help SPH's media business go non-profit.

The government has studied and will support Singapore Press Holdings' (SPH's) move to transfer its media-related businesses to a company limited by guarantee (CLG).

"The Government therefore supports SPH’s restructuring proposal andis willing toprovide funding support to the CLG. Let me summarise our thinking," Minister for Communications and Information S Iswaran said in a speech Monday, citing the revenue losses of SPH vis-a-vis its increased readership.

Under SPH's proposal, its media-related businesses and properties would be transferred to a new subsidiary, along with $80m cash and $30m worth of SPH shares and REITs. If SPH shareholders approve, it would be transferred to a CLG.

The CLG will no longer be run by SPH and will operate as a revenue-seeking business.

"However, any operating surplus will be ploughed back into the media business, rather than distributed to shareholders as dividends. In that sense, it will be “not-for-profit” to the members of the CLG," Iswaran explained.

He said that currently, the SPH model of a news media business with a listed company is "no longer viable" as traditional revenue streams are declining sharply.

Iswaran had met and consulted representatives of SPH's shareholders, who he said agreed to form the CLG and become its founding members.

The CLG would be chaired by Khaw Boon Wan.

Following this move, both the CLG and fellow Singaporean news media coroporation Mediacorp would operate with government financing.

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Analysts said there are three factors that drove the price growth.
Prices of private residential properties rose by 1.1% in Q3, marking the sixth consecutive quarter of growth.
72% of Singaporeans were aware of the term 'ESG.'
This strong performance was due to the recent acquisitions by the company.
They want a comfortable retirement, improved health, and a maintained lifestyle.
Meanwhile, 45% of respondents said they can effectively respond to cyber-attacks.
The previous projection was at S$1.3600/US$.
HongkongLand showed the most growth.
People are looking for a change of environment after 20 months, Lina Ang says.
They aim to supplement Singapore’s 2040 vision for cleaner energy for vehicles. 
This is expected to raise MLT's e-commerce revenue exposure in S. Korea to 31%.
The bank said the merger is crucial in the REIT sector.