Fosun Shares Suspended From Trading After Chairman Guo Goes Missing

Rumors have been circulating in mainland social media since yesterday afternoon, including one that said a witness was with Guo on the same flight from Hong Kong to Shanghai, and that the 48-year-old billionaire was taken away by police in handcuffs.

Mr Guo is just the latest in a long list of suspended or "disappeared" Chinese bankers and finance heads, after president Xi Jinping's sweeping anti-graft campaign spread to the financial sector this year.

Among the most affluent men in China, Guo Guangchang, continues to be detained by authorities.

Shanghai Fosun Pharmaceutical (Group) Co., which is linked to Guo's conglomerate, plans to resume the trading of its shares in Shanghai on December 14 after its suspension on Friday, the company said in the filing.

"A lot of companies will be on the investigation list and it will alert all the investors", he said. Guo is very cautious in his handling of the government. Starting with pharmaceuticals in the 1990s, his Fosun Group has acquired a diverse range of companies ranging from insurance to leisure and travel.

He called himself a student of the USA investment legend Warren Buffett and wanted to transform his conglomerate, Fosun, into a top asset management firm.

After almost two years of takeover efforts, Fosun finally clinched control of the French holiday group Club Mediterranee in February.

Mr Guo has a net worth of 50 billion yuan (£5.1 billion) and is the 17th richest person in China, according to Hurun, which monitors the country's wealthy.

In August, the Fosun Group chairman was put under the spotlight when he was named in a corruption court case in Shanghai.

Guo was alleged to have sold Wang a property at less than its market value some 12 years ago.

The US$400 million of 6.875 per cent 2020 securities slid 16.1 cents to 88.3 cents on the dollar as of 9:10 a.m.in Hong Kong, set for their biggest daily drop since its issuance in 2013, according to Bloomberg.

In the United States, it owns Meadowbrook Insurance Group Inc. and 20 percent of insurer Ironshore Inc.

Fosun said it would release further details later.

"What we guess is that someone should be helping him to make these transactions", said Zhang. He said when China's banks were all state-owned that it had been hard to secure long-term loans.

In September, the police ministry announced Citic's general manager, Cheng Boming, and other executives were suspected of insider trading and leaking sensitive information.

In the last few weeks, the China Securities Regulatory Commission has stepped up investigations into local brokerage firms.