The Hurun Research Institute Thursday released the “Hurun China 500 Most Valuable Private Companies 2019”, which lists China’s 500 strongest local private enterprises ranked according to their market value or valuation. “Chinese private enterprises” here refers to non-public enterprises with headquarters located in mainland China. The market valuation of listed companies is calculated based on the closing price on November 29, 2019.
The threshold for the “2019 Hurun China Top 500” is market valuation above 14 billion yuan ($x billion). The total market value of the listed companies is 36 trillion yuan, equivalent to 40% of China’s GDP. The average market value is 71 billion yuan.
Alibaba, Tencent, and Ping An Insurance become China’s top three most valuable private companies with a market value of 3.8 trillion, 2.9 trillion and 1.5 trillion respectively. Huawei ranks fourth with a valuation of 1.2 trillion. Meituan ranks sixth with a market valuation of 550 billion, and two other companies in the top ten were founded less than ten years ago: Bytedance at a valuation of 530 billion and Didi Chuxing at a valuation of 360 billion.
Hu Run, chairman and chief investigator of the HuRun Report, said, “We should not only look at the companies in terms of valuation and sales figures. The city that has more Hurun China 500 companies is advantageous in its GDP, industrial growth, income per capita, taxation, as well as the development of corporate and personal income taxes.”
Guangdong has altogether four companies in the top ten list, followed by Beijing and Zhejiang (Alibaba and Ant Financial are both based in Hangzhou of Zhejiang province). Eight out of the top ten companies are from emerging industries — e-commerce, media and entertainment, and health.