Bloomberg Billionaires Index

View profiles for each of the world’s 500 richest people, see the biggest movers, and compare fortunes or track returns.

# 54 He Xiangjian $19.7B

Random fact: Midea is China's first public company not based in a major city.

Overview

He is founder and largest shareholder of Midea Group, China's biggest appliance maker. The Foshan, China-based company reported revenue of 260 billion yuan ($39.4 billion) in 2018. Publicly traded Midea produces a range of household products, including air conditioners, heaters, refrigerators and washing machines.

As of :
Last change -$191M ( -1.0%)
YTD change +$6.68B ( +51.2%)
Industry Consumer
Biggest asset 000333 CH Equity
Citizenship China
Age 77
Wealth Self-made
View net worth over:   Max 1 year 1 quarter 1 month 1 week

Relative Value

He Xiangjian's net worth of $19.7B can buy ...

0
troy ounces of gold
0
barrels of crude oil

... and is equivalent to ...

0%
of the GDP of the United States
0%
of the total wealth of the 500 richest people in the world
0%
of the top 100 U.S. college endowments
0%
of the top 200 U.S. executives’ total awarded compensation
0%
of U.S. existing home sales
0
times the median U.S. household income

Latest News

Net Worth Summary

Cash
Private asset
Public asset
Misc. liabilities
Confidence rating:

The majority of He's wealth is derived from his 34% stake in Midea Group, a Fosun-China based household goods maker that trades on the Shenzhen Stock Exchange. Midea is the world’s largest manufacturer of appliances, according to its website. The business went public in September 2013 through a merger with publicly traded subsidiary GD Midea. 

He holds the shares directly and through closely held Midea Holding, according to the company's first quarter report for 2019. Midea Holding doesn't disclose financial results and isn't valued as a separate entity; the fortune is calculated using the value of the publicly traded stakes.

Most of his shares are held through Midea Holding, according to the first quarter report. The valuation was updated on May 28, 2019 to reflect a lower pledged share count and this led to an increase in the net worth calculation of about $1 billion. About one-quarter of his stake remains pledged following the reduction, according to the filing.

He also owns an 84% stake of Midea Real Estate Holding, a property management firm publicly traded in Hong Kong since October 2018. He holds the stake through daughter-in-law Lu Deyan who controls the shares with three holding companies, according to the company's 2018 annual report. The stake is credited to him to reflect his status as the company's founder.

The value of his cash investments is based on dividends, insider transactions, market performance and taxes.

Jiang Peng, spokesman of the company, declined to comment on He's net worth.

Biography

Birthdate: 8/1/1942
Family: Married, 3 children

He Xiangjian was born in Shunde, Guangdong province in 1942. He started his business with 23 villagers making glass bottles and plastic lids. At age 38, He switched to electric fans and named his company Midea. Before long, the operation started to make air conditioners, a novelty in China at the time. It first sold shares on Shenzhen's stock exchange in 1993.

In the next decade, Midea built a more diversified product line, including refrigerators and microwave ovens, which gained popularity among Chinese households.

He resigned as chairman of GD Midea in 2009 and sold some of his stake to institutional investors in 2011, paving the way for his retirement the following year. In August 2012, Fang Hongbo, a Midea veteran, was appointed chairman of the group after He Xiangjian retired. Son He Jianfeng is a director in the company.

Midea's appliance business has been a beneficiary of the housing reform initiated by China's former Premier Zhu Rongji, who privatized state-owned housing, transferring home ownership from the government to families occupying the dwellings. The demand for appliances has skyrocketed since then.

Midea Group, whose businesses range from selling appliances to providing logistics services, took its unit private as part of plans to list the group, according to filings with Shenzhen stock exchange. Midea Group listed in Shenzhen on Sept. 18, 2013.

He speaks Cantonese, a dialect commonly used in Guangdong. He rarely speaks publicly or grants interviews because he doesn't speak Mandarin well, which is the official national language.

Milestones
  • 1942 Born in Shunde, a county in southern China's Guangdong province.
  • 1968 Starts making plastic products with 23 neighbors.
  • 1980 Enters electrical appliance industry by making fans.
  • 1981 Trademark Midea is registered with the Chinese government.
  • 1993 Midea Group is founded in Shunde, Guangdong.
  • 1993 GD Midea sells shares in a Shenzhen public offering.
  • 2002 He founds Midea's refrigerator business.
  • 2011 Sells some of his personal stake to ICBC and CDH investors.
  • 2011 Acquires Carrier’s air-conditioning business in South America.
  • 2012 Retires as chairman of Midea; appoints Fang Hongbo chairman.