Family feud escalates as Dusit Thani struggles with huge losses

In Thailand, Dusit Thani, a prominent hotel chain, continues to face significant financial challenges, reporting a net loss of more than $100.8 million over the last five years. Despite these struggles, analysts highlight potential signs of recovery as the company's net loss narrowed to 237 million baht in 2024, while revenue nearly doubled to 10.1 billion baht. However, the ongoing family feud among the heirs of the late founder, Chanut Piyaoui, threatens to exacerbate the company's instability. The conflict, which intensified recently, revolves around control of the business following Chanut's passing in 2020, with Chanin Donavanik and his sisters disputing management decisions. This feud reached a boiling point when Chanut and Children, backed by Chanin's sisters, voted against the approval of the company's 2024 financial statements at a shareholders' meeting, as they felt unsatisfied with the management's responses regarding the company's financial status. Adding to the turbulence, Dusit Thani has not paid dividends to shareholders since 2020, and with escalating familial disputes, this has led to a decline in investor confidence. Despite the turmoil, analysts like Wijit Arayapisit believe this moment could present a favorable entry point for long-term investors, as Dusit Thani is on the brink of potential recovery with the launch of the $1.3 billion Dusit Central Park project in Bangkok, slated for completion soon. If settled, the internal family matters and project developments could herald a brighter future for the company.