Frencken Group has announced plans to expand its manufacturing facilities in Singapore and the US, a move expected to bolster long-term growth in its semiconductor and medical segments. The company has maintained its “buy” recommendation, raising its target price to SGD1.68, reflecting a 16% upside potential and a 2% yield forecast for the financial year 2026. The announcement follows a strong performance in the first half of 2025, driven by its mechatronics division.
The expansion is part of Frencken Group’s strategy to capitalise on new business opportunities within the semiconductor industry. The company anticipates that these improved and larger facilities will support sustained growth in the coming years. “The semiconductor business’ outlook remains positive,” stated the report by RHB, highlighting the potential for increased revenue from these strategic investments.
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