A recent report shows there are 76 “capital families” in the Shanghai and Shenzhen stock market, consisting of 179 firms and accounting for 4.8% of the total market cap of listed companies, the Securities Daily reported, citing research from an “authoritative institution.”
“Capital family” refers to two or more listed companies controlled by the same actual controller.
As of February 7, the 179 listed firms have a total market cap of 2.68 trillion yuan (US$409 billion). Over the last three years, they finished 262 rounds of restructuring, mergers and acquisitions, which involved a total of 414 billion yuan.
The largest capital family turns out to be Hainan Province Cihang Foundation launched by HNA Group.
It controls seven listed companies, including Bohai Capital Holding (000415.CH), CCOOP Group (000564.CH), Yeland Group (000616.CH), HNA Infrastructure (0357.HK), HNA Innovation (600555.CH), Tianjin Marine Shipping (600751.CH) and HNA Caissa Travel Group (000796.CH).
Following that is Guo Guangchang, the chairman of Fosun International, who controls five listed firms, while Lu Guanqiu, reportedly the richest person in Zhejiang province, as well as Wang Wenxue, control four publicly listed companies respectively.
The report also said that there are another 101 “capital families” that are state-owned and controlled by the central or local State-owned Assets Supervision and Administration Commission.