Chinese pork giant WH Group fires chairman’s son from board over aggressive behaviour

African swine fever, Smithfield Foods, Xiabuxiabu Catering Management (China) Holdings

WH Group, the world’s biggest pork producer, has removed the chairman’s son from the board and terminated his employment, citing his aggressive behaviour against the company.

Wan Hongjian, 52, son of the chairman and CEO Wan Long, 80, was stripped on Thursday of his roles as executive director, deputy chairman and vice-president, based on the company’s “amended and restated” articles of association, it said in a filing to Hong Kong’s bourse.

The company said that Wan was unable to fulfil his duties as a director “due to his recent misconduct of aggressive behaviours against the company’s properties”. It did not elaborate on the circumstances.

“The board considers that the removal of Mr Wan will not have any significant adverse impact on the group’s operations,” the statement said.

African swine fever, Smithfield Foods, Xiabuxiabu Catering Management (China) Holdings

Wan Hongjian, 52, has been removed as executive director, deputy chairman and vice-president of WH Group. Photo: Handout

A company spokeswoman declined to provide details on the nature and type of misconduct or behaviour.

His removal comes less than two weeks after the company said it would set aside nearly HK$15 billion (US$1.93 billion) to buy back 13 per cent of its shares at a premium, as its stock has underperformed the market since last year.

WH Group has been under pressure over the last two years as the Chinese meat processor has struggled with rising pig costs following the outbreak of African swine fever.

Wan Long, who owned 23.34 per cent of the company at the end of last year, is a 52-year veteran of China’s meat processing industry. He turned the former state-owned Henan Luohe Meat Products Processing United Factory into an international giant.

African swine fever, Smithfield Foods, Xiabuxiabu Catering Management (China) Holdings

Wan Long, chairman and CEO of WH Group, attends a press conference to announce the company’s results in Hong Kong, in August 2019. Photo: Jonathan Wong

WH, whose operating base is in Henan province, also owns US-based pork producer Smithfield Foods, which it acquired in 2013.

Wan Hongjian was appointed as an executive director of WH Group in June 2018 and two months later was named deputy chairman. He was responsible for WH’s international trading business before his removal.

Wan Hongjian’s total pay package amounted to US$1 million last year, according to the company’s annual report.

Hong Kong-listed companies can remove directors based on their own articles of associations, which can be amended with the approval of shareholders, said Mike Wong, CEO of Chamber of Hong Kong Listed Companies.

“They can appoint or remove directors according to the rules once they become official and registered at Hong Kong’s Companies Registry,” he said.

This is the second such removal of a high-level director by a well-known mainland Chinese company this week.

On Monday, Beijing-based hotpot restaurant chain Xiabuxiabu Catering Management (China) Holdings said its board decided to convene an extraordinary general meeting to remove Zhao Yi as executive director.

“The board takes the view that the management style and mindset of Ms Zhao are substantially different from that of the other members of the board, and it would not be in the best interest of the company and its shareholders as a whole to allow [her] to continue to take part in [its] management,” it said.

The board had already removed her as CEO last month, citing the performance of certain sub-brands that did not meet its expectation. The firm posted a 99.4 per cent plunge in net profit last year to 1.84 million yuan (US$285,650) from 288 million yuan in 2019, largely due to the coronavirus pandemic.

News Related


Court: Sunweb does not have to take over Corendon

Travel organization Sunweb does not have to take over Corendon. The court in Amsterdam has decided this in summary proceedings. In 2019, Subweb wanted to take over peer Corendon for ... Read more »

Starbucks Korea, Mini collaborate for special drinks and merchandise

Photo by: Starbucks Korea/Instagram Starbucks Korea and Mini Korea recently teamed up to release special beverages, a new menu, and some merchandise. As per The Korea Herald, the coffee chain ... Read more »

Foot Locker acquires WSS, atmos shoe stores for $1.1 billion

Photo by: Foot Locker/Facebook Foot Locker is buying two footwear store chains in a strategic deal that cost $1.1 billion. The sportswear and footwear retail company headquartered in New York ... Read more »

Court: Sunweb does not need to take over Corendon | Economy

Travel organization Sunweb is not forced to take over Corendon. The court in Amsterdam has just decided that. Sunweb withdrew at the last minute from the proposed acquisition of Corendon ... Read more »

AEX recovers from opening loss | Financial

At five to ten, the AEX is 0.1% lower at 757.6 points, after having tightened its closing record on Monday. The AMX rose 0.4% to 1061.8 points. Most other European ... Read more »

Tech investor Prosus at the bottom in slightly lower AEX

Tech investor Prosus was at the bottom of a slightly lower AEX index on Tuesday. The Chinese government seems to have launched an attack on the game sector in the ... Read more »

Dutch airports claw back some business, Q2 passenger numbers near 4 million

Photo: The five Dutch national airports processed 3.9 million passengers in the second quarter of this year, compared with fewer than one million in the same period of 2020, ... Read more »

Factory outbreaks may cut Aug-Dec exports by B300 bn - shippers

Key exports could decrease by as much as 300 billion baht in the remaining months of the year if the spread of Covid-19 infections continues at factories, the country’s exporters' ... Read more »

How employers can temporarily shut down their businesses to weather the COVID-19 situation MARKET PLACE: HUMAN RESOURCE WATCH

With the latest wave of COVID-19 continuing to have a serious impact on Thailand, many businesses have been looking for ways to survive. Some have temporarily reduced employees' wages, while ... Read more »

Tencent shares dive after Chinese media brand online games ‘spiritual opium'

FILE PHOTO: Visitors are seen at the Tencent Games booth during the China Digital Entertainment Expo and Conference, also known as ChinaJoy, in Shanghai, China, July 30, 2021. (Reuters) Tencent ... Read more »

Auto giant Stellantis posts strong profit in inaugural first half

Stellantis chief executive Carlos Tavares hailed the new company’s first half earnings as “very strong”. PARIS – US-European auto giant Stellantis, formed by Peugeot and Fiat Chrysler, posted a sizeable ... Read more »

Why China is unlikely to cut interest rates despite economic headwinds

With China’s economy losing steam since the second quarter of this year, there is market speculation that the central bank would cut the policy rate, i.e. the loan prime rate, ... Read more »

Korea's Netmarble buys SpinX casino game company for $2.1 billion

Photo by: Netmarble/Facebook Netmarble Corp., South Korea’s largest mobile gaming company, revealed its plan to buy SpinX Games, a Hong Kong-based casino game firm. It was shared that the acquisition ... Read more »

What is the Cheapest Way to Move Long Distance?

Moving away from your home can be stressful, but it doesn’t have to be! By cutting costs and saving money, you can focus on making your new place feel like ... Read more »

Three insurers turn down millions in claims from flood damaged businesses

Three major insurers have turned down claims from businesses who lost millions of euros in last month’s major flooding in Limburg. The three companies – Lloyds, Chubb and VLC – ... Read more »

Rabobank comes with compensation for customers who paid too high interest

Rabobank plans to financially compensate customers who have paid too high an interest rate on their revolving credit facilities. In the coming months, the bank will find out which consumers ... Read more »

Qantas idles 2,500 more staff as Covid-19 cuts domestic flights

The affected domestic employees will receive government-backed support payments of A$750 (S$747) a week. (REUTERS) – Qantas Airways is temporarily idling about 2,500 employees without pay for at least two ... Read more »

Self-driving truck developer Inceptio Technology raises USD 270 million from JD and Meituan

Autonomous trucks may be on the road in China by the end of 2021. Read more »

Evergrande cut by Moody's, faces another asset freeze petition

Moody’s Investors Service lowered the credit grade on China’s most indebted developer by two notches to Caa1 with a negative outlook. HONG KONG (BLOOMBERG) – China Evergrande Group’s woes deepened ... Read more »

Weekly Money FM Podcasts: Who benefits from CPF shielding?

In one of Money FM 89.3’s featured podcasts this week, Christopher Tan, Founder & CEO, Providend, discusses CPF shielding, the risks, and the considerations involved. Weekly Money FM Podcasts (Aug ... Read more »

Apple beats Saudi Aramco to become the world's most profitable company

Photo by: Laurenz Heymann/Unsplash Apple recorded an increase in its total profit, and with this, it has become the most profitable company in the world. Based on Fortune Global 500 ... Read more »

DSM loses on red stock exchange | Financial

After ten minutes of trading, the AEX is 0.5% lower at 754.6 points, after tightening its closing record on Monday. The AMX falls 0.2% to 1056.1 points. Most other European ... Read more »

Rabobank compensates customers who paid too much variable interest

Rabobank is introducing a compensation scheme for people who have paid too much variable interest for their consumer credit. 150,000 customers will receive compensation, a spokesperson said. Products that fall ... Read more »

Chinese newspaper deletes report that called video gaming ‘spiritual opium', said to misportray Beijing's official stance

A report against video gaming by a newspaper managed by the Xinhua News Agency was deleted from the publication’s website and on its WeChat account at noon on Tuesday, a ... Read more »

K-drama review: Voice 4 – disappointing procedural drama loses sight of its characters

This article contains spoilers. 1.5/5 stars Few things are as satisfying as a well-crafted investigative thriller, whether in the pages of a book, within the dark surroundings of a theatre, ... Read more »

‘Asia gives Damrak lower opening' | Financial

Based on the opening indicators, the AEX index on Beursplein 5 is heading for a slightly lower start to the new trading day. Elsewhere in Europe, the markets also seem ... Read more »

How to Use the Rule of 72

The Rule of 72 is a handy tool used in finance to estimate the number of years it would take to double a sum of money through interest payments, given ... Read more »

How to Use a Trailing Stop Loss

A trailing stop loss is a type of stock order. Using this order will trigger a sale of your investment in the event its price drops below a certain level. ... Read more »

Rabobank compensates customers who paid too much interest | Economy

Rabobank will compensate customers who have paid too much interest on their revolving credit. In the coming months, the bank will investigate which customers are affected and how they should ... Read more »

TasmaNet expands private cloud offering to Sydney

Hobart-based telco TasmaNet has launched its eastern seaboard cloud node in Sydney to expand its TasmaNet Core private cloud platform. TasmaNet’s platform is an Infrastructure-as-a-Service (IaaS) offering that the company ... Read more »

Advice: Union vote at Amazon distribution center must be over | Financial

During the Alabama election, which received a lot of attention worldwide because Amazon is in the news because of the poor working conditions in its distribution centers and in the ... Read more »

Synnex Australia adds Google Workplace integration to cloud marketplace

Synnex Australia has launched Google Workspaces’ API integration in its cloud marketplace, following the vendor’s recent local launch. The distributor said the integration would allow Google Cloud resellers to authorise ... Read more »

Google to ditch Qualcomm and make its own smartphone processor for Pixel 6

Photo by: Dylan Carr/Unsplash Google said on Monday, Aug. 2, that it will be creating its own processor for smartphones, and this will be called the Google Tensor. This will ... Read more »

Back to the grind: Starting up after selling GuavaPass

Jeffrey Liu shares lessons learned from selling his first startup to a competitor and then building a new business. Read more »

BOI and Osaka's IBPC host an online roundtable discussion on Medical Device Industry

The Thailand Board of Investment (BOI)’s Industrial Linkage Development Division, together with the BOI Osaka Office and Osaka’s International Business Promotion Center (IBPC), on 6 July 2021 jointly hosted an ... Read more »

Antitrust crackdown on China's tech sector could lead to greater competition, S&P says

Competition is likely to intensify among Chinese internet companies, such as Big Tech firms Alibaba Group Holding, and Tencent Holdings, as Beijing places greater scrutiny on mergers, overseas listings and ... Read more »

DSM raises expectations after good first half year | Financial

DSM’s sales reached €4.5 billion, €100 million more than analysts had expected and an increase of 10% compared to the first six months of 2020. Adjusted operating profit (EBITDA) grew ... Read more »

A few 'sightings' aside, Chinese tech billionaire Jack Ma hasn't been seen in nine months

Imagine if one of Australia’s top business figures – say, retail tycoon Gerry Harvey, mega developer Harry Triguboff or mining billionaire Andrew “Twiggy” Forrest – was summoned to Canberra to ... Read more »

Sensex reclaims 53,000 despite mixed cues from Asia, Wall Street tumbles on Covid fears while FTSE 100 ends higher

File image: Sensex closed at 52,950, up 0.7 per cent on.Monday (AFP via Getty Images) Indian stock market benchmarks opened higher on Tuesday despite poor cues from Asian and the ... Read more »

Royal Thai Embassy in Vienna and BOI Frankfurt lead Thai delegation to visit Vorarlberg

H.E. Ms. Morakot Sriswasdi, Ambassador of Thailand to Austria, and Miss Sanlaya Aksharamat, Director of the Thailand Board of Investment (BOI)’s Frankfurt Office led a Thai delegation to the Austrian ... Read more »