China Conglomerate Fosun Prepares to Sue Bloomberg for Damaging Reputation & Misleading Investors, Rejects False Reporting of China Authorities Asking Banks to Check Exposure to Fosun
16th September | Hong Kong
China conglomerate Fosun International is preparing to sue Bloomberg (News) for damaging reputation & misleading investors with false reporting of China authorities asking banks to check exposure to Fosun. With the Bloomberg news report, Fosun International share price fell 15% from HKD 5.21 (13/9/22) to 4.41 (14/9/22). Bloomberg on 13th September 2022: “Chinese authorities have told the nation’s biggest banks and state-owned firms to start a round of checks on their financial exposure to Fosun, one of the country’s largest non-state conglomerates, according to people familiar with the matter. Multiple regulators including China’s banking watchdog and the local commission that oversees state investments in Beijing recently told institutions under their oversight to closely examine their Fosun exposure, said the people, asking not to be identified as the matter is private.” Fosun International: “In response to foreign media reports about “Chinese regulatory authorities asking banks and some of the state-owned companies to examine their exposure to Fosun” on 13 September, Fosun said such reports are completely false. It is understood that Fosun has sought confirmation from regulatory authorities through multiple channels. The China Banking and Insurance Regulatory Commission (CBIRC) has not asked commercial banks to check about their financial exposure on Fosun, and many commercial banks that cooperate with Fosun have never received relevant notices.” Fosun International is founded by Chairman Guo Guangchang in 1992. In 2007, Fosun International Limited was listed on the main board of the Hong Kong Stock Exchange (stock code: 00656.HK), ranking No.459 on the 2021 Forbes Global 2000 List.
“ China Conglomerate Fosun Prepares to Sue Bloomberg for Damaging Reputation & Misleading Investors, Rejects False Reporting of China Authorities Asking Banks to Check Exposure to Fosun “
Gong Ping, Executive President & CFO of Fosun International
“Fosun’s recent seemingly frequent reductions in shareholdings and divestments are a continuation of its financial strategy of balancing investment and divestment in the past few years. Fosun has been dynamically sorting and optimizing its asset portfolios. Such moves are not just for coping with the current market environment. However, we noticed that the complex external environment has raised public opinion on the disposal of the Group’s assets, resulting in a one-sided interpretation of such asset disposal, while neglecting the Group’s general principle of asset optimization, which is our long-term dynamic asset optimization.”
Founded in 1992, Fosun is a global innovation-driven consumer group dedicated to providing high-quality products and services for families around the world in Health, Happiness, Wealth and Intelligent Manufacturing segments. In 2007, Fosun International Limited was listed on the main board of the Hong Kong Stock Exchange (stock code: 00656.HK). In 2021, Fosun International’s total revenue was RMB161.3 billion and total assets amounted to RMB806.4 billion. Fosun International ranks No.459 on the 2021 Forbes Global 2000 List, with a MSCI ESG rating of AA.
Guo Guangchang, Founder & Chairman of Fosun International
Guo Guangchang, aged 54, is an Executive Director and Chairman of the Company and the founder of the Group. As at the end of the Reporting Period, he has also been a director of both Fosun Holdings and Fosun International Holdings (the direct and indirect controlling shareholders of the Company, respectively), vice chairman of The General Association of Zhejiang Entrepreneurs, honorary chairman of The Zhejiang Chamber of Commerce, Shanghai, etc.. Mr. Guo was honored, among others, the”China Democratic League Anti-COVID-19 Outstanding Individual”, the”Anti-epidemic Action Award” at the”2020 Ram Charan Management Practice Awards” hosted by Harvard Business Review (Chinese version), the”Outstanding Businessman of Listed Company Award” at the”Top 100 Hong Kong Listed Company” Award, co-organized by Tencent News and Finet Group Limited, and”Lifetime Achievement Award” at the 16th CNBC Asia Business Leaders Award Ceremony etc.. Mr. Guo received a bachelors degree in philosophy in 1989 and a master’s degree in business administration in 1999, both from Fudan University.