Who will be next to lead Temasek, and is there enough time for them to come up to speed?

[SINGAPORE] Temasek Holdings executive director and chief executive Dilhan Pillay last week made clear that the Singapore investment company is paving the way for new leadership.

In its largest corporate reorganisation since it was split into Temasek Holdings and Temasek International in 2011, the investment behemoth – with a portfolio last valued at S$434 billion – will be dividing its holdings into three entities: Temasek Global Investments (TGI), Temasek Singapore (TSG) and Temasek Partnership Solutions (TPS). 

The way Pillay sees it, the move is necessary to sharpen the company’s focus for it to adapt to an ever-changing global landscape. And the 62-year-old says it is also a good time to groom the next generation of leaders to take Temasek into the next lap.

Already, a couple of names have been thrown into the spotlight with the recent leadership reshuffle: Temasek’s chief financial officer Png Chin Yee, and head of Europe, Middle East and Asia (EMEA) Nagi Hamiyeh.

Png, 49, will assume an additional role as president of TSG, which manages the group’s portfolio of Singapore companies; Hamiyeh, 56, will double-hat as president of TGI and look after international investments.

One of the surprises that came up from Temasek’s announcement last week, however, was that the leadership for the third entity, TPS, will remain vacant for now.

Gabriel Lim, CEO of Seviora Holdings – the main asset management platform in TPS – was earlier tipped to lead the entity. The 49-year-old is a long-time public servant and a former permanent secretary of the Ministry of Trade and Industry.

But Pillay at the media briefing last week ruled out that Lim would take on a leadership role at Temasek, because he already runs an operating company. Lim has “got a big and difficult job as it is”, Pillay said.

Instead, an operating committee will run TPS and work with Lim to review Temasek’s stable of asset management companies. 

Potential pain points

Amid the leadership reshuffle, it should come as no surprise Png and Hamiyeh are taking on additional roles. After all, Pillay himself went through seven roles before being appointed CEO of Temasek International in 2019.

From Apr 1, 2026, Pillay will also be appointed chairman of each of the three new entities, on top of his role as chairman for Temasek International, which will house just the group and corporate functions after the investment remit is split.

Meanwhile, Chia Song Hwee, 62, the current deputy CEO at Temasek International, will take on the roles of deputy chairman at TSG, TPS and Temasek International, as well as CEO of TGI.

Pillay said eventually, all three entities will each have a CEO, while Temasek will also appoint a president for TPS in the next year, or the year after.

This suggests that Png and Hamiyeh may not even be seen as the leading candidates for the prized top job as Temasek CEO.

It also begs the question of why the three entities need a new, third layer of leaders.

Png and Hamiyeh have amassed a wealth of experience during their time in Temasek; Png joined in 2011, while Hamiyeh was recruited in 2005.

While one understands the rationale of adding more roles – as Pillay indicated, to test potential leaders by taking them out of their comfort zones – having yet another layer of leadership could appear a tad excessive. 

Such a structure could create friction through “excessive internal competition and reduced cooperation”, said Ben Charoenwong, associate professor of finance at Insead.

There is also the concern that multiple leadership layers could slow the decision-making process, which could affect deal timing and execution. “Each entity having chairman, deputy chairman, CEO, and president positions could add coordination costs that offset specialisation benefits,” Prof Charoenwong added.

Reassuringly, Pillay describes himself and Chia as the two “constants” in the three new entities.

But while his role as chairman across all entities could provide a coordination mechanism, this could also become a bottleneck. “Success depends on clearly delineated decision rights and minimal overlap in responsibilities,” said Prof Charoenwong.

Also, one wonders if the new CEOs and presidents will have enough time to come up to speed before Pillay and Chia retire.

A smooth leadership transition is important at every company and organisation. In Temasek’s case, this is critical, given its ever-expanding portfolio.