City Developments (CDL)

[LionFlyer]

getting more complicated.

https://www.straitstimes.com/business/cd...therine-wu

[Big Toe]

Instead of getting together to better the financial position of CDL, they decided to fight amongst themselves.
Instead of learning lessons from the mega sincere loss, and implement stricter due diligence and be more prudent, they decided to be involved in mudslinging and sue each other. Well done.

[EnSabahNur]

I don't follow CDL but I recall that acrimony over the Sincere Property investment.

Wouldn't this raise concerns about governance and lead retail shareholders to consider exiting?
I'm genuinely curious if there are good reasons to remain shareholders after that came to light.

The price in 2020 range from 6.48 to 7 plus. Would be a nice exit and save one some pain. All in hindsight of course but can't say that there were no red flags before the current events happened.

"The elder Kwek pointed to past business decisions under his son's leadership that have "put CDL in a precarious position", including a S$1.9 billion loss from CDL's investment in Chinese developer Sincere Property in 2020 and poor returns from UK property ventures.

The Sincere deal was supposed to be CDL's most ambitious expansion into China, but the COVID-19 pandemic put a dent in plans. The Chinese firm was also in a worse financial state than expected.

This is not the first time relations have been strained in the Kwek clan.

In 2020, Kwek Leng Beng's cousin Kwek Leng Peck resigned as non-executive and non-independent director of CDL after more than three decades, citing disagreements over the Sincere investment, which was led by Sherman Kwek."