Lu is the chairman of Wanxiang Holding, a financial conglomerate that provides insurance and banking services in China. The Shanghai-based company reported revenue of 28.7 billion yuan ($4.5 billion) in 2020. Lu also owns stakes in Minsheng Life Insurance and Wanxiang Group, an auto parts manufacturer.
Lu Weiding's net worth of $6.53B can buy ...
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The majority of Lu's fortune is derived from his 80% stake in Wanxiang Group, a car parts maker founded by his late father. The group reported revenue of 127 billion yuan ($19.7 billion) in 2020, according to a top 500 companies ranking by the China Enterprise Confederation. It's valued using reported financial results and the average price-to-earnings multiple of four publicly traded peers: Huayu Automotive Systems Co Ltd, Fuyao Glass Industry Group Co Ltd, Weichai Power Co Ltd and Weifu High-Technology Group Co Ltd.
Lu also has a 92% stake in Wanxiang Holdings, a financial conglomerate that provides insurance and banking services. The Shanghai-based company had revenue of 28.7 billion yuan ($4.5 billion) in 2020, according to the company annual report. It's valued based on the average price-to-book multiple of four publicly traded peer companies: China Life Insurance, China Taiping Insurance, New China Life Insurance and China Pacific Insurance Group.
Lu and his mother also own a 6.5% stake of Minsheng Life Insurance through closely held holding company Shanghai Guandingze. The insurer had revenue of 12.5 billion yuan in 2020, according to its annual report. It's valued using the average price-to-book multiple of four publicly traded peer companies: China Life Insurance, China Taiping Insurance, New China Life Insurance and China Pacific Insurance Group.
The valuation of each of the three companies was updated on Oct. 5, 2021 and this led to an increase of $1 billion in Lu's net worth calculation.
Yang, a spokesman for the billionaire, declined to comment on the net worth calculation.
Lu's father set up Wanxiang Group in 1969, two years before Lu was born.
Born in March 1971, Lu was sent to Singapore to study management by his father. He returned to China in 1992 to help his father manage the business. Lu was promoted to chief executive of the group in July 1994, the same year Wanxiang Qianchao began trading publicly on the Shenzhen Stock Exchange.
He became chairman of Minsheng Life Insurance in 2010.
Lu's father died in October 2017. Lu became the chairman of Wanxiang Group a month later, according to a company statement.