Three directors quit CDL hotel unit as Kwek family feud recedes

Key facts

• Three directors resigned from Millennium & Copthorne Hotels on April 22, 2026.
• The directors were Jennifer Duong Young, Daniel Desbaillets and Wong Ai Ai.
• They were among six directors installed in February 2025 to dilute Kwek Leng Beng's influence.
• Kwek Leng Beng filed a lawsuit against his son Sherman Kwek in February 2025 but later dropped it.
• CDL posted a net profit of S$629.7 million for 2025, nearly three times the previous year.
• CDL divested about S$2 billion in assets in 2025 and made acquisitions worth S$1.7 billion.
• Teneo has been selected to lead a strategic review of CDL, with details expected by end-June 2026.

Abrupt departures at London-based hotel subsidiary

Three directors have abruptly resigned from Millennium & Copthorne Hotels, a London-incorporated subsidiary of City Developments, according to an April 22 filing. The resignations of Jennifer Duong Young, Daniel Desbaillets and Wong Ai Ai come just over a year after they were appointed under contentious circumstances. The trio were among six directors installed in February 2025 in a move widely seen as an attempt to dilute the influence of family patriarch Kwek Leng Beng, who chairs the parent company. Their appointment triggered a rare public clash within the Kwek family, with the 84-year-old patriarch accusing his son and CEO Sherman Kwek of orchestrating a boardroom coup.

Lawsuit dropped but tensions linger

Kwek Leng Beng sued his son and other directors on City Developments' board, including the three who have now resigned. The lawsuit was eventually dropped, and the elder Kwek later reconciled with his son, but only after key adviser Catherine Wu left the hotel unit. Sherman Kwek and other board members had grown unhappy about Wu's influence and sought to curb it by reshaping the boards of the hotel unit and the parent firm. A spokesperson for the developer said the directors were appointed to strengthen governance at a key subsidiary and were stepping down with that now largely addressed.

Shareholders question governance at annual meeting

Corporate governance issues resurfaced at CDL's annual general meeting on April 29, where shareholders raised questions about director roles and the progress of a strategic review. Mak Yuen Teen, a professor at the National University of Singapore who attended the meeting, noted that shareholders appeared largely satisfied with CDL's financial performance. Mak raised concerns over a potential conflict of interest involving Wong Ai Ai, who also sits on the board of SWI Capital Holding, a global investment firm with exposure to real estate and digital infrastructure markets including Britain. The board responded that it is not uncommon for directors to hold positions across multiple companies where potential conflicts may arise.

Strong financial results and strategic overhaul

CDL posted a net profit of S$629.7 million for 2025, nearly three times the previous year, buoyed by Singapore's buoyant property market. The company divested about S$2 billion worth of assets in 2025, including in Japan and the U.S., and made acquisitions worth S$1.7 billion, notably the Holiday Inn London. Sherman Kwek said the strategic review, which began earlier in 2026, is 'timely' after a challenging 2025 marked by internal tensions. The board has selected Teneo, a strategic advisory and communications firm, to lead the process, with details expected by end-June 2026.

A family dynasty's public unraveling

The Kwek clan is among Singapore's most recognisable business families, with the conglomerate spanning three generations. Kwek Leng Beng, 84, is executive chairman of Hong Leong Group, founded by his father Kwek Hong Png in 1941. Hong Leong acquired a controlling stake in CDL in 1972, when the developer was struggling financially. Under the family's leadership, CDL turned profitable through strategic diversification into investment properties and later hospitality, acquiring the iconic Plaza Hotel New York from Donald Trump in 1995. For decades, the family appeared to be a model of successful succession, but the recent lawsuit shattered that image.

All resolutions passed, but questions remain

All resolutions tabled at the annual general meeting were passed with comfortable majorities, including the re-election of independent directors and a share purchase mandate. CDL also held an extraordinary general meeting to vote on a new long-term share incentive plan under which some management staff may be awarded shares. Sherman Kwek said CDL's current strategy, introduced in 2018, is being reassessed with external inputs to determine whether it remains appropriate and relevant. The company's share price has recovered, buoyed by the property market, but investor confidence hinges on the outcome of the strategic review.

The bottom line

• Three directors resigned from Millennium & Copthorne Hotels, a key CDL subsidiary, on April 22, 2026.
• The resignations follow a high-profile feud between patriarch Kwek Leng Beng and his son Sherman Kwek, which included a lawsuit that was later dropped.
• CDL's net profit tripled to S$629.7 million in 2025, driven by a strong property market.
• The company has divested S$2 billion in assets and acquired S$1.7 billion, including the Holiday Inn London.
• A strategic review led by Teneo is underway, with results expected by end-June 2026.
• Shareholders passed all resolutions at the AGM, but governance questions persist.