State-owned Citic takes over troubled tycoon Ye Jianming’s investments in Czech Republic
The Chinese conglomerate will take over 49pc stake in CEFC Europe, but Ye Jianming’s company will still have a controlling share
Citic Group, China’s biggest state conglomerate and the original “Red Capitalist”, is stepping in to prop up businesses and investments in the Czech Republic owned by troubled oligarch Ye Jianming’s CEFC, according to state news agency Xinhua on Friday.
Citic will hold 49 per cent of CEFC Europe, while Ye’s company will maintain a 51 per cent controlling stake in the venture, Xinhua reported, citing a memorandum of understanding signed on Thursday by Czech President Milos Zeman.
A spokesman for Citic Ltd, the listed flagship of Citic Group, said the listed firm was not involved in the investment.
The parent company too was not available for comment.
China freezes CEFC’s shares, casting doubt on energy giant’s future
Ye was appointed special economic adviser to Zeman in early 2015. Sources confirmed what the Czech authorities had said in March about Ye being investigated in China on “suspicion of violating the law”.