SATS, which operates Marina Bay Cruise Centre, has set its sights on acquiring Singapore Cruise Centre in a bid to improve efficiencies and make Singapore more attractive as a potential regional homeport.
Subsidiaries SATS Airport Services and SATS-Creuers Cruise Services (SATS-Creuers) have entered a share purchase agreement to buy over the terminal operator for S$110 million (US$87.6 million) from Temasek.
Due to the complementary nature of Singapore Cruise Centre and SATS-Creuers operations, the acquisition will allow for the improvement of efficiencies and better utilisation of berths and resources, making Singapore a more attractive homeport for cruise lines. SATS also plans to extend its cruise-fly and fly-cruise products to Singapore Cruise Centre for seamless transfers to Singapore Changi Airport.
Tan Chuan Lye, SATS’ president and CEO, said: “Together with our strong partnership with Creuers, this transaction will enable us to grow our gateway services business, which in turn will benefit the cruise industry here as a whole.
“The future is bright for the cruise industry in Asia-Pacific. The combined entity can leverage our regional airport presence to facilitate and provide a seamless travel experience for fly-cruise passengers. This will bolster Singapore’s position as an attractive regional cruise hub and homeport for cruise lines which in turn will benefit the economy.”
Singapore Cruise Centre is comprised of the international cruise terminal and regional ferry terminal at HarbourFront Centre, along with the two ferry terminals at Tanah Merah and Pasir Panjang.
The transaction remains subject to approvals from the Maritime and Port Authority of Singapore and the Competition Commission of Singapore.
SATS-Creuers is a 60-40 joint venture formed by SATS Airport Services and Creuers del Port De Barcelona to manage and operate the Marina Bay Cruise Centre Singapore (TTG Asia e-Daily, August 1, 2011).
