Evergrande’s board of directors ushered in the first “outsider”.
On January 23, China Evergrande (03333. HK) announced the change of directors, saying that Sean was appointed Executive Director and Liang Linlin was appointed non-executive director; Meanwhile, Lai Lixin and Huang Xiangui resigned as executive directors.
At present, the executive directors of China Evergrande include Xu Jiayin (Chairman), Xia Haijun (Chief Executive), pan Darong, Shi Junping and Sean, the non-executive directors are Liang Linlin, and the independent non-executive directors include Zhou Chengyan, He Qi and Xie Hongxi.
Most of them have worked in Evergrande department for many years. Sean is an insider of Evergrande. He is currently the executive director and chairman of China Evergrande New Energy Vehicle Group Co., Ltd. and the executive president of Evergrande group. He joined Evergrande group in 2013; Pan Darong and Shi Jun joined Evergrande in 2006 on average, one year earlier than Xia Haijun, the “working emperor”.
In contrast, the identity of Liang forest deserves more attention. Liang Senlin, 56, has more than 30 years of banking and asset management experience. In 2018, he joined China Cinda Asset Management Co., Ltd. (hereinafter referred to as “China Cinda”) and served as the chairman of China Cinda (Hong Kong) Holdings Limited (hereinafter referred to as “Cinda Hong Kong”) since May 2019.
Among them, Cinda Hong Kong is a wholly-owned subsidiary of Cinda China, mainly engaged in domestic and foreign non-performing asset investment, equity investment, mezzanine investment, debt investment and securities investment, medium and long-term bond issuance, high-quality assets and structured fixed income products and cross-border financial services; Mr Leung is currently the vice chairman of the China Finance Association of Hong Kong.
Public information shows that China Cinda, established in April 1999, is the first financial asset management company approved by the State Council and listed on the Hong Kong Stock Exchange at the end of 2013 (01359. HK). It is the first Chinese financial asset management company to land in the international capital market. At the same time, China Cinda also owns a listed real estate company Cinda Real Estate Co.Ltd(600657) .
Another identity of China Cinda is a member of Evergrande risk resolution Committee.
On December 6, 2021, Evergrande disclosed an inside information that in view of the current operational and financial challenges, its board of directors decided to establish a risk resolution Committee, which includes Xu Jiayin, chairman of Evergrande’s board of directors, pan Darong, chief financial officer and executive director of Evergrande, Liu Zhihong, deputy general manager of Yuehai holding group, Li Feng, chief capital operation officer of Yuexiu group Chen Yong, compliance director, Hao Han, partner of Beijing Zhonglun law firm, and Zhao Limin, vice president of China Cinda.
Since the Evergrande crisis was exposed in 2021, after many efforts to pay interest on overseas bonds, it still announced that it would carry out debt restructuring. On the evening of December 3, 2021, it announced that it failed to fulfill a guarantee obligation of US dollar private placement bonds, and “will actively communicate with overseas creditors and formulate feasible overseas restructuring plans for all stakeholders”.
On the same day, the official website of the Guangdong provincial government announced that the Guangdong provincial government was highly concerned about Evergrande’s failure to fulfill its responsibilities and immediately interviewed Xu Jiayin, the actual controller of Evergrande group. At the request of Evergrande Real Estate Group Co., Ltd., in order to effectively resolve risks, protect the interests of all parties and maintain social stability, Guangdong Provincial People’s government agreed to send a working group to Evergrande real estate group to urge and promote enterprise risk disposal, strengthen internal control management and maintain normal operation.
Since then, on January 20, the fifth session of the 13th Guangdong Provincial People’s Congress opened. Relevant leaders said that in accordance with the principle of marketization and rule of law, we should steadily promote the debt risk resolution and disposal of real estate enterprises such as Evergrande group. The next day, Evergrande disclosed to the public that it hired more intermediaries, including China International Capital Corporation Limited(601995) , BOC International Asia Co., Ltd. as financial advisers and Zhonglun law firm limited liability partnership as legal advisers to assist in debt risk resolution.
It is worth mentioning that Minmetals trust recently took over two project companies of Evergrande in Kunming and Foshan. At the same time, projects in Xuzhou, Jiangsu, Yantai, Shandong and other places have been taken over one after another.
