The Baoneng Group (legal name Baoneng Investment Group Co., Ltd.) is a Chinese property and financial services conglomerate controlled by Chinese billionaire
Yao Zhenhua
Yao Zhenhua (born 1969/1970) is a Chinese billionaire businessman, and the chairman of Baoneng Group.
Career
In 1992, Yao founded Baoneng Group, which now has over 40 shopping malls in China.
In February 2017, Yao was banned from China's insur ...
, China's 52nd-wealthiest person as of August 2020.
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
Shenzhen (; ; ; ), also historically known as Sham Chun, is a major sub-provincial city and one of the special economic zones of China. The city is located on the east bank of the Pearl River estuary on the central coast of southern province ...
which became one of the largest Shenzhen providers.
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.
[ In 2003, Baoneng took a majority stake in the ]state owned enterprise
A state-owned enterprise (SOE) is a government entity which is established or nationalised by the ''national government'' or ''provincial government'' by an executive order or an act of legislation in order to earn profit for the government ...
(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.[ In 2005, the company built Shenzhen Baoneng All City, a mix of residential and commercial facilities which became a success.][ 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.][
]
Failed Vanke takeover
In 2015, Baoneng, through its subsidiaries Shenzhen Jushenghua Corporation and Qian Hai Life Insurance, attempted an hostile takeover
In business, a takeover is the purchase of one company (the ''target'') by another (the ''acquirer'' or ''bidder''). In the UK, the term refers to the acquisition of a public company whose shares are listed on a stock exchange, in contrast to ...
of public
In public relations and communication science, publics are groups of individual people, and the public (a.k.a. the general public) is the totality of such groupings. This is a different concept to the sociological concept of the ''Öffentlichkei ...
(although ''de facto'' state-controlled) rival Vanke
Vanke () is a large residential real estate developer in China. It is engaged in developing, managing and selling properties across more than 60 mainland Chinese cities in the Pearl River Delta, Yangtze River Delta and Bohai-Rim Region, with th ...
.China Resources
China Resources Holdings Company Limited (), or simply China Resources, is a Chinese state-owned conglomerate that owns a variety of businesses in Hong Kong and Mainland China. Some of its subsidiaries use the name in the form of the acronym CRC ...
as the largest shareholder.[ On 11 December 2015, Baoneng had a 22.45% stake.][ and in that month Vanke temporarily left the stock exchange to block Baoneng's continued stock acquisition,][ accusing it of obtaining funds through allegedly illicit methods.]CSRC
The China Securities Regulatory Commission (CSRC) is a government ministry of the State Council of the People's Republic of China (PRC). It is the main regulator of the securities industry in China.
History
China's first Securities Law wa ...
actioned against Baoneng, finally leading to the suspension of its insurance business, while Vanke retook its shares.[
]
Operations
Financial services and property business
The Baoneng Group comprises about 40 companies in real estate, logistics, microfinance, education, healthcare.[
Baoneng has over 40 shopping malls in China.]
Automotive business
In 2017,Qoros
Qoros Auto Co., Ltd. was a Chinese automotive manufacturing company headquartered in Shanghai, China. Its principal activity was the design, development, production and sale of passenger cars sold under the Qoros marque.
It was founded as a jo ...
. Chery
Chery Automobile Co. Ltd., trading as Chery and sometimes known by the pinyin transcription of its Chinese name, ''Qirui'' (), is a Chinese state-owned automobile manufacturer headquartered in Wuhu, Anhui, China. Founded in 1997, it is curre ...
took a 25% and Kenon Holdings
Kenon Holdings is a public corporation, which is a spin off from Israel Corporation, traded on the New York Stock Exchange and the Tel Aviv Stock Exchange. Owned by Israeli businessman Idan Ofer, it controls Israel Corp's investment in companies s ...
the remaining 12%. That same year, the Baoneng Group set up the subsidiary Baoneng Motor to manage its automotive business.[ Baoneng launched projects to build ]new energy vehicle
A plug-in electric vehicle (PEV) is any road vehicle that can utilize an external source of electricity (such as a wall socket that connects to the power grid) to store electrical power within its onboard rechargeable battery packs, which then ...
plants in Kunshan
Kunshan is a county-level city in southeastern Jiangsu province with Shanghai bordering its eastern border and Suzhou on its western boundary. It is under the administration of the prefecture-level city of Suzhou.
Name
There is a strong pos ...
, Xixian, Kunming
Kunming (; ), also known as Yunnan-Fu, is the capital and largest city of Yunnan province, China. It is the political, economic, communications and cultural centre of the province as well as the seat of the provincial government. The headquar ...
, Hangzhou
Hangzhou ( or , ; , , Standard Mandarin pronunciation: ), also romanized as Hangchow, is the capital and most populous city of Zhejiang, China. It is located in the northwestern part of the province, sitting at the head of Hangzhou Bay, whi ...
, Xi'an
Xi'an ( , ; ; Chinese: ), frequently spelled as Xian and also known by #Name, other names, is the list of capitals in China, capital of Shaanxi, Shaanxi Province. A Sub-provincial division#Sub-provincial municipalities, sub-provincial city o ...
, and Guangzhou
Guangzhou (, ; ; or ; ), also known as Canton () and alternatively romanized as Kwongchow or Kwangchow, is the capital and largest city of Guangdong province in southern China. Located on the Pearl River about north-northwest of Hong Kon ...
.
In January 2020, the Baoneng Group agreed to acquire the assets of Changan PSA
Changan PSA (officially Changan PSA Automobiles Co., Ltd., informally CAPSA) was an automobile company headquartered in Shenzhen, China, a 50:50 joint venture between Changan Automobile and Groupe PSA. Its principal activity was the manufacture and ...
from stockholders Changan Auto
Chang'an Automobile Co., Ltd. is a Chinese state-owned automobile manufacturer headquartered in Jiangbei, Chongqing.[Groupe PSA
The PSA Group (), legally known as Peugeot S.A. (Peugeot Société Anonyme, trading as Groupe PSA; formerly known as PSA Peugeot Citroën from 1991 to 2016) was a French multinational automotive manufacturing company which produced automobiles ...]
through its wholly owned subsidiary Shenzhen Qianhai Ruizhi Investment.[ 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.]
References
External links
{{DEFAULTSORT:Baoneng Group
Real estate companies of China
Companies based in Shenzhen