(Yicai Global) Oct. 12 -- Some 49 chairmen at Chinese listed firms have walked away from their positions since July mainly because of job transfers, personal reasons and management changes.
Some 25 departures were at Shanghai-listed firms and 24 were at those listed in Shenzhen National Business Daily cited a survey from East Money Information as saying.
Hu Chengzhong, Jiangmen Sugarcane Chemical board director submitted his resignation of all posts due to personal reasons yesterday, surprising the market. Hu holds 54.1 percent of shares of Delixi Group, Jiangmen Sugarcane Chemical Factory's holding company, making him the actual owner of the latter.
Many industry veterans were among the wave of resignations. Yang Dengrui, the former chairman of the board of Harbin High-Tech, resigned in late August for personal reasons. Yang joined Harbin High-Tech in 2002 and had been the company's general manager and chairman of the board. The company enjoyed stable balance sheets in recent years.
Lu Xuri, chairman at Sanbian Science & Technology, resigned on July 10 and no longer assumed any post in the company. Lu took this position in 2001 before the company floated and remained there for five terms.
Some directors left their position for special reasons. Luo Aihua, former chairman of Shenzhen Kondarl, who was arrested for alleged breach of trust, was removed from his post by the company's board in August.
Chairmen of the board are the souls of their companies, said Economist Song Qinghui. Changes to such positions often bring about shifts in power and affect business strategy especially for listed private companies. Investors should pay attention to their successors' backgrounds.
Editors: William Clegg