Chinese billionaire Guo re-appears in public

The billionaire chairman of Fosun Group, one of the mainland’s biggest privately held conglomerates, has re-emerged after disappearing from public view in connection with an investigation by authorities.

The government has released no details about Fosun chairman Guo Guangchang and Fosun has yet to say whether he was under investigation or was being questioned about other people.

Fosun and Mr Guo were named by a Chinese court in August in relation to a bribery case against Wang Zongnan, a former chairman of a state-owned food company who was jailed for 18 years.

It said Guo talked about the need to expand globally but gave no indication whether he mentioned the investigation.

Resuming trade on Monday, Fosun’s Hong Kong shares plunged 13.5 per cent before recouping some losses, as investors remained wary a day after Fosun’s president Wang Qunbin said all current deals were “proceeding normally” and the firm would buy back shares if stock prices fluctuated.

Since then the company has spent more than $30bn (£20bn) snapping up foreign assets.

They added that Guo was still able to take part in the company’s decision-making in “appropriate ways” without elaborating and sought to calm investor worries about the company financial situation.

Hong Kong-listed Fosun International finished 9.0 per cent lower at HK$12.14, while Shanghai Fosun Pharmaceutical fell 11.9 per cent to HK$21.90, outpacing the broader Hang Seng index which dropped 0.7 per cent.

On Sunday, Fosun’s president said Guo, one of China’s best-known entrepreneurs, had been helping authorities with an investigation mostly concerning his “personal affairs”.

Guo appeared at the Fosun event at the Kerry Hotel Pudong in eastern Shanghai where he discussed the company’s strategy and performance, but did not speak about his apparent disappearance, Reuters reported, citing a source.

In other corporate news, Hong Kong-listed publishing and property investment company SCMP Group Ltd. said that Alibaba Group Holding Ltd. (BABA) will pay 2.06 billion Hong Kong dollars ($266 million) for the company’s media assets including its flagship South China Morning Post newspaper.

Fosun won a bidding war this year to take over Club Mediterranee, the French resort operator.

Guo’s assistance in investigations comes at a time when tens of thousands of suspects – including dozens of high-profile individuals at the top of the Communist Party – have been investigated under an anti-corruption drive launched in 2013.