Family drama has once again gripped City Developments Ltd. (CDL), one of Singapore’s largest and most recognized property developers, as a fresh wave of boardroom tensions between Chairman Kwek Leng Beng and his son, CEO Sherman Kwek, spills into the public eye.
At the company's 62nd Annual General Meeting last week, what was meant to be a routine corporate affair instead morphed into a high-stakes confrontation. Tensions that had been simmering behind closed doors erupted openly, shocking shareholders and rattling investors.
According to multiple reports, the heart of the discord centers on the recent appointment of two new independent directors, seen by some as a strategic move to shift control within the board. Accusations of a "boardroom coup" emerged, adding fuel to long-standing family frictions.
Public Fallout at Shareholders’ Meeting
At the AGM, the atmosphere turned charged when a senior board director described the leadership environment as a “pit of snakes,” sharply criticizing fellow directors for perceived disloyalties. Shareholders pressed the leadership with pointed questions, demanding clarity on governance and the board’s internal struggles.
The drama laid bare the vulnerabilities at the heart of CDL, long admired as a pillar of stability among Singapore’s corporate giants.
Shares Tumble Amid Uncertainty
As news of the family infighting spread, CDL’s stock price took a hit. Shares have fallen nearly 20% over the past 12 months, settling at S$4.93 — a steep decline from S$6.15 a year earlier.
Already navigating a softening property market, the added uncertainty from leadership instability is prompting concern among institutional investors and analysts alike.
CityDev, which has left a visible imprint on Singapore’s skyline through landmarks such as Republic Plaza and South Beach Tower, now faces uncomfortable questions about its future trajectory.
Long-Running Family Tensions Resurface
The Kwek family has long symbolized the golden era of Singaporean entrepreneurship. Founded in the 1960s, CDL expanded into a property empire with global reach, including ownership of the Millennium & Copthorne Hotels brand.
Yet in recent years, internal strains have become harder to mask. Earlier this year, in a gesture seen as a bid for reconciliation, Kwek Leng Beng withdrew a lawsuit against his son. For a brief moment, it appeared that a truce might hold.
Instead, the latest boardroom battle has reignited speculation about succession planning, governance standards, and the company’s ability to steer through turbulent times.
Bigger Stakes Ahead
For investors and industry observers, the unfolding drama at CDL is more than just a family affair — it signals a broader cautionary tale about corporate governance in family-run Asian conglomerates.
As Kwek Leng Beng confronts advancing age and declining health, questions loom large: Will CityDev successfully navigate a generational leadership handover? Or is the empire built over six decades at risk of fracturing under the weight of personal rivalries?
For now, one thing is clear: the family saga at CDL is far from over.
Quick Snapshot:
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Chairman: Kwek Leng Beng, 84
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CEO: Sherman Kwek, 49
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Market Value: Approx. S$6 billion ($4.4 billion)
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Signature Projects: Republic Plaza, South Beach Tower, Sunshine Plaza, King’s Centre, Tanglin Shopping Centre
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Global Assets: Millennium & Copthorne Hotels
