(Reuters) – Singapore’s City Developments on Wednesday said its billionaire executive chairman, Kwek Leng Beng, had dropped a lawsuit against his son, the company’s CEO, whom he had accused of plotting a boardroom coup.
The firm was plunged into a power struggle late last month and had suspended trading in its shares after Leng Beng said he had filed court papers to remove his son, Sherman Kwek, from his position.
City Developments said Leng Beng will continue to serve as executive chairman while Kwek will remain as the group’s chief executive officer. All current directors will remain on the board.
“All the board members have agreed to put aside their differences for the greater good of CDL and its stakeholders,” Leng Beng said in a statement late Wednesday.
City Developments ended trading at S$5.12 on February 25 before going on a trading halt a day later.
The stock closed Wednesday at S$4.94, 3.5% lower than before the feud was first publicly revealed.
This latest development seems to be an important step toward mending a deep family divide that became public in February.
(Reporting by Rishav Chatterjee in Bengaluru; Editing by Alan Barona)
