 | |||||||
| Company type | Conglomerate | ||||||
|---|---|---|---|---|---|---|---|
| Industry | Various | ||||||
| Founded | 1992 | ||||||
| Founder | Yao Zhenhua | ||||||
| Headquarters | , China | ||||||
Key people | Yao Zhenhua (Chairman) | ||||||
| Chinese name | |||||||
| Simplified Chinese | 深圳市宝能投资集团有限公司 | ||||||
| Traditional Chinese | 深圳市寶能投資集團有限公司 | ||||||
| |||||||
| Baoneng Group | |||||||
| Simplified Chinese | 宝能集团 | ||||||
| Traditional Chinese | 寶能集團 | ||||||
| |||||||
| Website | www.baoneng.com | ||||||
The Baoneng Group (legal name Baoneng Investment Group Co., Ltd.) is a Chinese property and financial services conglomerate controlled by Chinese billionaire Yao Zhenhua, China's 52nd-wealthiest person as of August 2020. [1]
History
The first predecessor of Baoneng was established in 1992 when Yao Zhenhua, taking advantage of the Shopping Basket Programme, set up a vegetable supplying and selling operation in Shenzhen which became one of the largest Shenzhen providers. [2] [3] In 1997, the operation was incorporated as Shenzhen Xinbaokang Vegetable Industries Co., Ltd., later renamed as Shenzhen Xinbaokang Industrial Development Co., Ltd. before adopting its current name in 2000. [2] In 2003, Baoneng took a majority stake in the state owned enterprise (SOE) Shum Yip Logistics, which led to Baoneng taking control of land and other properties, allowing it to gain an advantage on the expanding Chinese property market. [2] [3] In 2005, the company built Shenzhen Baoneng All City, a mix of residential and commercial facilities which became a success. [2] [3] By 2009 the company launched similar ventures throughout China, achieving a growth of about 30% annually for several years. In 2012, Baoneng Group set up Qian Hai Life Insurance Co., Ltd., entering into the finance business. [2]
Failed Vanke takeover
In 2015, Baoneng, through its subsidiaries Shenzhen Jushenghua Corporation and Qian Hai Life Insurance, attempted an hostile takeover of public (although de facto state-controlled) rival Vanke. [3] [4] In July 2015, Baoneng acquired an initial 5% of Vanke, raising it to 15.25% by November, [5] surpassing SOE China Resources as the largest shareholder. [5] [6] On 11 December 2015, Baoneng had a 22.45% stake. [6] Vanke chairman Wang Shi openly opposed the takeover, [3] [5] and in that month Vanke temporarily left the stock exchange to block Baoneng's continued stock acquisition, [4] accusing it of obtaining funds through allegedly illicit methods. [7] The CSRC actioned against Baoneng, finally leading to the suspension of its insurance business, while Vanke retook its shares. [4]
Operations
Financial services and property business
The Baoneng Group comprises about 40 companies in real estate, logistics, microfinance, education, healthcare. [3]
Baoneng has over 40 shopping malls in China. [8]
Automotive business
In 2017, [9] the Baoneng Group acquired a 63% controlling stake in the automobile maker Qoros. Chery took a 25% and Kenon Holdings the remaining 12%. [10] That same year, the Baoneng Group set up the subsidiary Baoneng Motor to manage its automotive business. [9] Baoneng launched projects to build new energy vehicle plants in Kunshan, Xixian, Kunming, Hangzhou, Xi'an, and Guangzhou. [11]
In January 2020, the Baoneng Group agreed to acquire the assets of Changan PSA from stockholders Changan Auto and Groupe PSA through its wholly owned subsidiary Shenzhen Qianhai Ruizhi Investment. [9] In May 2020, after the transaction was completed, Changan PSA was dissolved and its facilities renamed as Shenzhen Baoneng Motor Co., Ltd. The vice president of the Baoneng Group, Sun Li, became the legal representative of the new company. [12]
References
- ^ Forbes. "China Rich List; Forbes". forbes.com. Retrieved 20 August 2020.
- ^ a b c d e Lu, Ling; Yang, Xiuhong (21 December 2015). "起底野蛮人姚振华：卖蔬菜起家" [Beginnings of the "barbarian" Yao Zhenhua: first selling vegetables]. Caijing Magazine (in Chinese). Retrieved 10 September 2020 – via Sina Finance.
- ^ a b c d e f Zhen, Summer (18 July 2016). "The driving force behind Baoneng's assault on Vanke". South China Morning Post. Retrieved 10 September 2020.
- ^ a b c Tortia, Ermanno (2018). "Introduction: Entrepreneurs, universities and governments". In Dallago, Bruno; Tortia, Ermanno (eds.). Entrepreneurship and Local Economic Development: A Comparative Perspective on Entrepreneurs, Universities and Governments. Routledge. ISBN 978-1-351-25602-5.
- ^ a b c Ding, Ronggui (2020). Taiji Logic: Chinese Wisdom for Project Governance. Springer Nature. pp. 26–27. ISBN 978-9-811-55239-7.
- ^ a b "China Vanke, top holder set to clash over control". Taipei Times. 21 December 2015. Retrieved 10 September 2020.
- ^ Sullivan, Lawrence R (2017). Historical Dictionary of the Chinese Economy. Rowman & Littlefield. p. 60. ISBN 978-1-538-10854-3.
- ^ "Yao Zhenhua". Forbes.com. Retrieved 27 July 2017.
- ^ a b c Zheng, Yushuo (3 January 2020). "Baoneng Snaps Up Changan-PSA China JV to Further Drive Into Autos". Yicai Global. Retrieved 9 September 2020.
- ^ "Kenon Sells Half of Its Remaining Stake in Qoros to the Majority Shareholder for RMB 1,560 Million (US $227 Million)".
- ^ "Baoneng brings NEV manufacturing program in Kunshan, Jiangsu Province". Gasgoo. 17 October 2018. Retrieved 24 September 2020.
- ^ "Changan PSA renamed Shenzhen Baoneng Motor". Gasgoo. 22 May 2020. Retrieved 9 September 2020.
