Kwek Leng Beng



Singapore Infopedia

by Chua, Alvin

Kwek Leng Beng (b. 1941, Singapore–) is a hotel and property tycoon. He heads the Hong Leong Group (HLG) Singapore founded by his father, Kwek Hong Png, as well as property and hotel group, City Developments Limited (CDL). He came into international prominence in the 1990s by acquiring a string of hotels to form the Millennium & Copthorne chain, including the high-profile acquisition of the Plaza Hotel in New York together with Saudi prince Alwaleed Bin Talal in 1995.1 Forbes magazine listed Kwek and his family among Singapore’s richest in 2016.2

Family, education and early career
At the age of 17, Kwek interned at Hong Leong and earned a salary of $150 a month. At the time, the young Kwek did not share his father’s drive for business. He studied law at the University of London, where he received an LLB (Bachelor of Laws). He was also trained as a company administrator, so that he could improve Hong Leong’s organisational and internal systems.3

Kwek’s father, however, wanted a frontline role for his son, who would learn the ways of business from him. His father also instilled an entrepreneurial spirit in Kwek, whom he initially found to be “too academic” as well as “naïve, kiasu and kiasi (which in Hokkien means ‘afraid to lose’ and ‘afraid to die’ respectively)”. As Kwek studied his father’s business skills closely, his attitude also evolved.

In 1967, Kwek joined Hong Leong Finance (HLF) as general manager and director.5 HLF was then a small business, and Kwek demonstrated his entrepreneurial drive by personally ferrying his staff to different locations to seek out new businesses.6 In the following year, he took on the chairmanship of the King’s Hotel company, with the hotel of the same name opening in 1970.

Kwek’s focus on sales at HLF brought success, and he also displayed a knack for finding good investments and negotiating deals. In 1972, he led Hong Leong’s takeover of the loss-making, public-listed property company CDL. He then became CDL’s managing director, and in 1979 oversaw the takeover of another listed company, Singapore Finance (now Hong Leong Singapore Finance).8

Building a hotel chain
Kwek became HLF’s chairman and managing director in 1984, and succeeded his father as executive chairman of HLG by 1990. He also established CDL Hotels (CDLH) and listed the company in Hong Kong the year before. Starting off with six hotels, Kwek began acquiring hotels in Singapore and the region, before making his first purchase in Europe in 1993 — The Gloucester in London. Another two hotels in London followed that year, along with hotels in New Zealand.9


Kwek began to gain a reputation for picking up valuable assets at bargain prices, including the 1994 purchases of the Millennium (US$75 million) and the Macklowe (US$96 million) in New York. The Millennium reaped profits within the year and within three years was valued at US$98 million; the Macklowe boasted a similar story. Besides his knack for bargain-spotting, Kwek was known for his efficient, decisive style in sealing deals, as well as his diligence and meticulous eye for detail.10

In July 1995, Kwek gained worldwide attention when he teamed up with Saudi prince Alwaleed to complete the high-profile purchase of the Plaza Hotel in New York from American tycoon, Donald Trump. The S$455 million deal raised the profile of CDLH and gained him an unusual gift from the prince, a gold-plated AK-47 assault rifle. In 2004, the hotel was sold for US$675 million.11

In October 1995, Kwek gained control over an additional 17 hotels in London, Germany and France through the £219 million acquisition of the Copthorne chain of hotels, which then brought CDLH’s portfolio to 55 hotels worldwide in 1996.12 That year, he floated Millennium & Copthorne Hotels (M&C), which grouped CDL’s hotels in Europe and the United States, on the London Stock Exchange.13 The listing raised S$372.47 million, with CDL retaining a 55 percent share of the company.14 By 1998, M&C had become the eighth largest hotel management chain in the world, with 66 hotels in 12 countries.15

In 2000, Kwek was named Asian Hotelier of the Decade.16 His key property developments since then included the six-star St Regis in Singapore, and M&C which comprised over 100 hotels in 17 countries in 2011.17

Business interests and management style
Kwek was executive chairman of CDG, and group chairman of M&C as at 2011. HLG oversees some 300 companies across Asia, Europe and North America, managing businesses in the fields of property development, hotels, finance, manufacturing and distribution, and e-businesses. The group held gross assets of around S$33 billion as of 2011.18


When Kwek took over CDL in 1972, the company had a market capitalisation of less than S$5 million. Over the next three decades, he oversaw its transformation into a conglomerate with a market capitalisation of S$13 billion, as well as over 300 subsidiaries and associated companies across Asia, Europe, Middle East, North America and New Zealand/Australia.19

CDL was the largest property company in Singapore by assets as at 2011, and had built more than 22,000 private homes. One of the largest private land banks in Singapore, it also had over seven million sq ft of lettable commercial space.20

Kwek is said to have a hands-on, decisive management style. He has also been described as a demanding boss, unafraid to change his management team if they do not perform to his standards.21

Awards and appointments
1995:
Business Achiever of the Year from magazine, Yazhou Zhoukan.22

1996: Businessman of the Year, Singapore Business Awards.23
1997: Appointed to International Advisory Board of National Westminster Bank.24
1997: Outstanding Contributor to Tourism, Singapore Tourist Promotion Board Tourism Awards.25
1997: Tourism Entrepreneur of the Year, Singapore Tourist Promotion Board Tourism Awards.26
1998: Doctor of Business Administration in Hospitality Management (honorary doctorate) from Johnson & Wales University of Rhode Island, USA.27
2000: Asian Hotelier of the Year from Jones Lang LaSalle Hotels and Arthur Andersen.28
2000: Named Asian Hotelier of the Decade at Third Annual Asia Pacific Hotel Industry Investment Conference.29
2000: Doctor of the University (honorary doctorate) from Oxford Brookes University.30
2002: Member of sub-committee on Entrepreneurship and Internationalisation, Economic Review Committee.31
2003: Member of East Asia Council of INSEAD.32
2012: Partners in the Office of the CEO in the Brendan Wood International – SIAS TopGun CEO Designation Award.33
2014: Real Estate Developers’ Association of Singapore (REDAS) Lifetime Achievement Award.34
2015: Singapore Chinese Chamber of Commerce & Industry SG50 Outstanding Chinese Business Pioneers Award.35
2015: Best Singaporean Investor to Italy.36
2015: Lifetime Achievement Award from Hotel Investment Conference Asia Pacific.37

Family38
Father:
Kwek Hong Png.

Brother: Kwek Leng Joo.
Sisters: Kwek Geok Luan, Kwek Bee Heong and Kwek Lee Hoon.
Wife: Cecilia Kok Phooi Lin.
Sons: Sherman Kwek Eik Tse and Kingston Kwek Eik Huih.



Author

Alvin Chua




References
1. Cheong Suk-Wai, “Room at the Top,” Straits Times, 19 December 2004, L4. (From NewspaperSG)
2. “Singapore’s 50 Richest People,” Forbes, accessed 17 July 2017.  
3. Cheong, “Room at the Top.” 
4. Cheong, “Room at the Top.” 
5. Kalpana Rashiwala, “The Shy Man Who Builds a Global Empire,” Straits Times, 26 May 1996, 3. (From NewspaperSG)
6. Joyce Koh, “Trials and Triumphs,” Business Times, 23 September 2003, 22. (From NewspaperSG)
7. Rashiwala, “The Shy Man Who Builds a Global Empire.” 
8. Low Kar Tiang, ed., Who’s Who in Singapore 2006 (Singapore: Who’s Who Pub., 2006), 237 (Call no. RSING 920.05957 WHO); Natasha Ann Zachariah, “Kwek Leng Beng: Billionaire Hotelier With an Eye for Design,” Straits Times, 5 September 2016, (From Factiva via NLB’s eResources website) 
9. Low, Who’s Who in Singapore 2006, 237; M. Pacelle, “One Tycoon’s Smart Tactics,” Wall Street Journal, 19 February 1997 (From Factiva via NLB’s eResources website); Rashiwala, “The Shy Man Who Builds a Global Empire”; Tan Su Yen,  “Kwek Leng Beng Is Businessman of the Year,” Business Times, 20 March 1997, 1. (From NewspaperSG)
10. Pacelle, “One Tycoon’s Smart Tactics”; Rashiwala, “The Shy Man Who Builds a Global Empire.” 
11. Cheong, “Room at the Top”; Kalpana Rashiwala, “Leng Beng, Prince Alwaleed Say Yes to US$675m Deal They Can’t Refuse,” Business Times, 14 August 2004, 1. (From NewspaperSG)
12. “CDL Hotels Completes £219m Deal To Buy Copthorne Hotel Chain,” Business Times, 11 October 1995, 18; Kalpana Rashiwala, “CDL Hotels to Float European and US Arm in London,” Straits Times, 9 March 1996, 48. (From NewspaperSG)
13. Tan, “Kwek Leng Beng Is Businessman of the Year.” 
14. Conrad Raj, “Hong Leong’s Millenium Float Proves a Big Hit,” Business Times, 20 April 1996, 7. (From NewspaperSG)
15. Andrea Tan, “HK’s Hari Harilela Gets Award,” Business Times, 22 March 2001, 10. (From NewspaperSG)
16. Tan, “HK’s Hari Harilela Gets Award.” 
17. Kalpana Rashiwala, “CDL Hotels To Gloat European and US Arm in London,” Straits Times, 9 March 1996, 48. (From NewspaperSG)
18. “Corporate Network,” City Developments Limited, accessed 28 September 2016.  
19. City Developments Limited, “Corporate Network.”  
20. “Towards A Sustainable Business,” City Developments Limited, accessed 29 September 2016.
21. Joyce Koh, “Trials and Triumphs,” Business Times, 23 September 2003, 22 (From NewspaperSG); G. Warden, “Cover Story: Building City,” Edge Singapore, 20 August 2007. (From Factiva via NLB’s eResources website) 
22. “Award for CDL Chief Kwek,” Business Times, 15 December 1995, 3 (From NewspaperSG); Low, Who’s Who in Singapore 2006, 237.
23. Low, Who’s Who in Singapore 2006, 237.
24. “Kwek Leng Beng Appointed To Natwest Advisory Board,” Straits Times, 14 January 1997, 38. (From NewspaperSG)
25. Low, Who’s Who in Singapore 2006, 237.
26. “Leng Beng Bags 2 Tourism Awards,” Business Times, 29 October 1997, 5 (From NewspaperSG); Low, Who’s Who in Singapore 2006, 237.
27. Low, Who’s Who in Singapore 2006, 237.
28. Tan, “HK’s Hari Harilela Gets Award”; Low, Who’s Who in Singapore 2006, 237.
29. Paul Jansen, “Missing Jigsaw Pieces Within Reach for Kwek,” Straits Times, 9 December 2000, 18. (From NewspaperSG)
30. Low, Who’s Who in Singapore 2006, 237.
31. Chuang Pcek Ming, “Private Equity Exchange, Tax Breaks Mooted,” Business Times, 14 September 2002, 3. (From NewspaperSG)
32. “Board of Directors,” City Developments Limited, accessed 28 September 2016; “Kwek Leng Beng,” Hong Leong Finance Limited, accessed 28 September 2016.
33. City Developments Limited, “Board of Directors.”  
34. City Developments Limited, “Board of Directors”; Hong Leong Finance Limited, “Kwek Leng Beng.”  
35. City Developments Limited, “Board of Directors”; Hong Leong Finance Limited, “Kwek Leng Beng.” 
36. City Developments Limited, “Board of Directors.”
37. Ann Williams, “Kwek Leng Beng Receives Lifetime Achievement Award From Hotel Industry Gathering,” Straits Times, 15 October 2015. (From Factiva via NLB’s eResources website) 
38. Rashiwala, “The Shy Man Who Builds a Global Empire”; Natasha Ann Zachariah, “Kwek Leng Beng: Billionaire Hotelier With an Eye for Design”; Low, Who’s Who in Singapore 2006, 237.

 

 

Further resources
Award for CDL Chief Kwek,” Business Times, 15 December 1995, 3 (From NewspaperSG)

 

Zuraidah Ibrahim, “He Fights Against Herd Instinct To Be the Final Captor,” Straits Times, 20 November 1998, 74. (From NewspaperSG)



The information in this article is valid as at 2015 and correct as far as we are able to ascertain from our sources. It is not intended to be an exhaustive or complete history of the subject. Please contact the Library for further reading materials on the topic.




Loading...

You May Also Like

You are currently on:

{{selectedTopic.label}}

Loading...

{{displayedDesc}} See {{ readMoreText }}


Loading...

Rights Statement

The information on this page and any images that appear here may be used for private research and study purposes only. They may not be copied, altered or amended in any way without first gaining the permission of the copyright holder.

More to Explore

American International Assurance

ARTICLE

First established in Singapore in 1931 as International Assurance Co. Ltd. (INTASCO), AIA Singapore is now a leading life insurance company in the Asia-Pacific region....

Ee Peng Liang

ARTICLE

Ee Peng Liang (Dr) (b. 24 November 1913, Singapore–d. 24 August 1994, Singapore) was a local philanthropist and businessman. He was the founding member and president of the Singapore Council of Social Service (now known as the National Council of Social Service) and the Community Chest. Frequently referred to as...

Factories Ordinance, 1958

ARTICLE

The Factories Ordinance, 1958 (Ord. 41 of 1958), was a piece of legislation that sought to set minimum standards for the health, safety and welfare of workers in factories. In 1960, factory workers numbered about 120,000 and made up one-quarter of Singapore’s total labour force. This ordinance was introduced when...

State Development Plan, 1961–1964

ARTICLE

The State Development Plan, also referred to as the First Development Plan, was the first official blueprint for the economic development of Singapore after it attained self-government in 1959. Produced by the Ministry of Finance, the plan aimed to solve the pressing issues of economic stagnation and high unemployment rate...

S. Dhanabalan

ARTICLE

Suppiah Dhanabalan (b. 8 August 1937, Singapore–), also known as S. Dhanabalan or just Dhana, is a banker and former politician who served in various ministries, notably foreign affairs and national development. Since his retirement from politics, he has held chairmanships for large corporations including Temasek Holdings and DBS Group...

Singapore Glass Factory strike

ARTICLE

The Singapore Glass Manufacturers Co Ltd was a leading manufacturer of glassware, plastics and cardboard in Singapore. Its factory, popularly known as the Singapore Glass Factory, stood on Henderson Road, and was a famous landmark in Bukit Merah for many years. Established in 1948 shortly after World War II, the...

Devan Nair

ARTICLE

Chengara Veetil Devan Nair (b. 5 August 1923, Jasin, near Malacca, Malaysia –d. 7 December 2005, Canada ), better known as just Devan Nair, was Singapore’s third president and first Indian president. ...

Lee Hee Seng

ARTICLE

Lee Hee Seng (b. 1927–d. 4 February 2012, Singapore) was a retired banker with a long record of public service. He was part of the leadership at the former Overseas Union Bank (OUB) for 27 years and was OUB’s chairman when it merged with United Overseas Bank (UOB) in 2001....

Fong Swee Suan

ARTICLE

Fong Swee Suan (Dr) (b. 27 October 1931, Senggarang, Batu Pahat, Johor, Malaya–4 February 2017, Singapore) was a trade unionist who was active in the Singapore labour scene during the 1950s and 1960s. He is often associated with Lim Chin Siong, a fellow trade union activist. Fong was also one...

Referendum on merger with Malaysia

ARTICLE

The referendum on merger with the Federation of Malaysia, also known as the Singapore National Referendum, was held on 1 September 1962. The idea for a referendum to be held was championed by then Prime Minister Lee Kuan Yew of the People’s Action Party (PAP). The official purpose of the...