Expected Huarong President Rejects Appointment
In yet another unexpected turn of events for the troubled Huarong, an appointed president didn’t accept the offer and has instead taken the same role at a rival bad asset manager.
Liang Qiang was named president of China Great Wall Asset Management, according to a statement published by the China Banking and Insurance Regulatory Commission.
Liang is a former deputy Communist Party chief and was most recently an executive director at China Great Wall.
Huarong Appointment
Liang was reportedly approved to be the long-awaited president of the troubled China Huarong Asset Management earlier this month but did not accept the appointment, according to a «Caixin» report citing unnamed sources.
The bad asset manager is facing credit pressures from worries about state support over $40 billion of outstanding foreign and domestic debt.
According to recent data from China Securities Depository and Clearing Corp., borrowers putting up a Huarong Securities 2023 bond for collateral now get just 40 percent of the note’s face value as cash compared to 91 percent at the start of April.
