Asia’s business families are increasingly under attack from shareholders. Twice in the past week the boards of large Asian groups have been successfully opposed by minority investors willing to wield their power in some of the most conservative business environments.
Last Monday, Hyundai Motor cancelled an $8.8bn restructuring that would have strengthened the control of the group’s founding family after opposition from a handful of foreign funds.
A day later, investors in Fortis Healthcare, India’s second-biggest hospital chain, teamed up to oust one board member. The move, which followed the resignations of three others who were also opposed by investors, was the opening gambit in a battle over who should be allowed to take over the company.