Dear readers, the City Development Limited (CDL) saga which has gripped Singapore over this week is still developing.
After the exchange between CDL Executive Chairman, Mr Kwek Leng Beng and his son, the Group CEO of CDL, Mr Sherman Kwek which was made public, there was the public mention of a Dr Catherine Wu yesterday. And today, one of Singapore’s former top civil servants and also a current Board Member of CDL, Mr Philip Yeo has also weighed in with his view.
As to what each of the above individuals have said or commented, I will not further elaborate as these have been widely reported. CDL is a listed Singapore entity on the Singapore stock exchange and amidst the saga, CDL stock remains on trading halt with the stock last traded on Tuesday 25 February 2025 at $5.12 per share.
The CDL stock saga came on right on the heels of (specially a week after) the announcement of the key recommendations by a distinguished committee tasked to revigorate the Singapore stock markets (Review Committee). If the Review Committee’s key recommendations such as a $5 billion scheme through the MAS to booster the local equities markets was the top local market news last week, then the CDL saga is definitely the most attention-grabbing local market news this week. [Also, read here for one humble suggestion of mine to bolster the Singapore stock markets]
While the CDL saga is in gist a private family affair but with potential implications for CDL share price, the CDL saga inevitably may impact CDL investors’ confidence in CDL and could also potentially has some implications on the larger Singapore stocks markets.
Hence, I am of the view this rare saga is in fact a good consideration for the Review Committee to explore whether any measures may be needed in relation to similar incidents from SGX-listed companies in future, to maintain investors’ (not just local investors but also overseas investor) confidence in Singapore stock markets. For example, should there be a window period under such circumstances where trading of the suspended stock (in this case, CDL) should resume? I have no doubt that CDL shareholders may have some concerns on how CDL stock will perform once the stock resumes trading.
CDL is a listed entity after all, and I believe the Review Committee should follow this saga closely to review how best interests of Singapore stock markets and investors in Singapore stock markets can be safeguarded.
The CDL saga which is made so publicly is rare in Singapore, considering that this comes from a generally private Asian and wealthy family. I myself am not drawn to any speculation after reading any development that arises in this saga every day but read each development as it is.