SINGAPORE: Temasek tries to lift public image

Singapore's Temasek to improve image since public debate over foreign acquisition of Shin Corp

Bangkok Post
Saturday, April 8, 2006

Singapore --- Singapore's state-linked investment company Temasek Holdings is trying to improve its image after drawing flak over some foreign acquisitions, the Straits Times said yesterday.

The newspaper said Temasek had created a new senior position -- corporate affairs managing director -- in apparent recognition of the need to improve public perceptions of its intentions and links with the government.

Temasek's purchase of shares in Thai telecom giant Shin Corp from the family of outgoing prime minister Thaksin Shinawatra for US$1.9 billion triggered a political crisis that forced Mr Thaksin to announce that he would step down.

Posters of Singaporean Prime Minister Lee Hsien Loong and his wife Ho Ching, Temasek's chief executive officer, were set on fire by demonstrators in Bangkok who condemned the tax-free windfall reaped by Mr Thaksin's family members from the sale.

In a separate incident, Temasek accidentally released last week a revealing in dhternal document meant to give its executives and spokespersons guidelines on how to respond to media queries on a number of sensitive issues.

The document was withdrawn but only after it was published on the Internet.

A former local broadcaster, Myrna Tho dhmas, will take up the new corporate affairs post at Temasek next week.

Temasek spokeswoman Eva Ho confirmed the appointment and said the new official's primary focus would be to ''effectively manage our communications with our stakeholders, both public and media, in the markets we operate in''.

The Thai controversy has not stopped Temasek from expanding.

After buying control of Shin Corp, Temasek acquired nearly a 12% stake worth an estimated $4 billion in Standard Char dhtered, making it the biggest single shareholder of the London-based international lender.

Temasek's glittering company stable includes Singapore Airlines, Singapore Telecommunications, port operator PSA International, DBS Bank and the developer CapitaLand. Temasek also has stakes in foreign banks from China to Indonesia.

Its global portfolio stood at US$63 billion at the end of the last fiscal year in March 2005. No new official valuation has since been issued.

Date Posted: 4/8/2006