China Evergrande Group Chairman Xu Jiayin has stepped down of the company’s flagship unit Hengda Real Estate Group. Ke Peng stepped down as the group’s general manager and legal representative. Zhao Changlong, previous executive director and vice chairman of Evergrande Property Services, will replace Xu as chairman, and will also be general manager.
According to the annual report previously released by Evergrande Property Services, Zhao joined Evergrande Group in September 2003 and has held several positions within its subsidiaries, including Vice President of the Development Center and Chairman of Hengda Real Estate Group’s branch in Xi’an. He has been a director of Hengda Real Estate Group since November 2017.
Evergrande said the change was “normal” and due to the termination of a plan to gain a listing for Hengda on China’s A-share market by buying an already listed company, and it did not involve any change in management or shareholding structures. It added Zhao had been Hengda’s chairman and general manager before August, 2017.
On August 10, the now Shenzhen-based Evergrande announced that it was contacting several potential independent third-party investors to discuss the sale of some assets of the company. On August 1, Hengten Network announced on the Hong Kong Stock Exchange that China Evergrande Group sold 11% of its shares at a price of HK $3.25 billion to Tencent and an independent third party.