Temasek assembles panel of European heavyweights

The Singaporean sovereign wealth fund has established a European advisory panel to counsel on macro trends and investment opportunities in the region.

Temasek, the Singaporean sovereign wealth fund with S$266 billion (€170 billion; $185 billion) under management, has established a European advisory panel to help boost its activities in the region.

The Temasek European Advisory Panel (TEAP), one of a number of regional advisory panels Temasek plans to set up, brings together business leaders and experts to share insights and perspectives on political, economic, social and industry trends across Europe.

Temasek CEO Lee Theng Kiat said the regional panels will help offer the fund a greater appreciation of global trends and help it to assess opportunities across the key markets in which it invests.

“While Temasek remains anchored in Asia, we recognise the significance of Europe to our overall investment strategy and activities,” said Tan Chong Lee, Temasek’s head of Europe.

“Our commitment to the region was reinforced in March 2014 when we established our office in London. Europe today represents 8% of Temasek’s global portfolio exposure and we continue to look for opportunities to participate in the growth of sectors and companies that fit our investment themes.”

The regional panels will complement the Temasek International Panel, formed in 2004, which is made up of industry leaders who have helped to shape the fund’ strategies.

The six-person TEAP comprises: Patrick Cescau, chairman of InterContinental Hotels Group, from France; Ian David, chairman of Rolls-Royce, from the UK; Michael Diekmann, former CEO of Allianz, from Germany; Franz Fehrenbach, chairman of the supervisory board of Robert Bosch, from Germany; Gabriele Galateri di Genola, chairman of Generali, from Italy; and Dr. Franz Humer, chairman of Diageo, from Switzerland.

Chairmanship of the panel will rotate with each meeting. The inaugural meeting was held on Tuesday in London, chaired by Davis.

“We exchanged views and insights on the European macroeconomic landscape, as well as sector trends and dynamics that could inform deliberations around potential investments,” Davis said.

“The meeting also provided the platform to learn more about Temasek as a long term investor and its interest in European opportunities. We look forward to our continued engagement with Temasek as it steps up its presence and investment activities in Europe.”

The London office is Temasek’s only office in Europe, and advises the fund on investment opportunities in Europe, the Middle East and Africa. The fund has 10 offices globally, including São Paulo, Mexico City, and New York, which also opened in 2014. Its remaining offices are in Asia, including two in China and two in India. 

Temasek was established in 1974 as an investment holding company to own and manage Singapore's assets and investments on a commercial basis. It has a 30 percent allocation to alternatives, according to PEI Research & Analytics. Its recent investments in Europe include a £415 million (€576.6 million, $637.7 million) joint venture with Ontario Municipal Employees Retirement System’s real estate arm Oxford Properties to acquire London’s Blue Fin building from Time Inc., and a $125 million investment in Origo Exploration, a Norway and UK-focused oil exploration and production company, alongside Riverstone Energy and Barclays’ energy fund BNRI.

Its private equity funds commitments in the region include to EQT VI, a €4.82 billion fund focused on Northern Europe.