"Xiangyuan Group" financial products default, three affiliated companies respond urgently

China Fund Journalist Taylor

Hello everyone, the overdue event of the “Xiangyuan System” financial products continues to evolve, and the three listed companies under it have issued announcements to urgently “cut ties.”

On the evening of December 7, Xiangyuan Cultural Tourism announced that media reports regarding overdue payments of financial products for which Xiangyuan Holdings, the indirect controlling shareholder of Xiangyuan Cultural Tourism, and the actual controller of the company bear joint guarantee responsibilities have emerged online, drawing investor attention.

The company has verified the related matters with Xiangyuan Holdings and the actual controller of the company and conducted a self-examination. To avoid misleading the market with false information and protect the legitimate rights and interests of investors, the following explanations are made:

1. There are partial overdue payment situations for financial products issued on a certain platform related to real estate cooperation projects with Xiangyuan Holdings, and Xiangyuan Holdings and the actual controller of the company bear joint guarantee responsibilities for the above payment obligations. Xiangyuan Holdings and the actual controller are communicating with relevant parties regarding the specific circumstances of overdue payments.

2. The financial products involved in this event are unrelated to Xiangyuan Cultural Tourism and its affiliated or controlled subsidiaries, and Xiangyuan Cultural Tourism does not bear any payment or guarantee obligations, nor has the company provided guarantees or enhancements for any financial management product payments.

3. The company’s production and operations are currently normal. The company’s management promises to adhere to the “Corporate Governance Guidelines for Listed Companies” to ensure independence in assets, personnel, finance, institutions, and business matters from the controlling shareholder and actual controller.

In addition, the other two listed companies under Xiangyuan Holdings, Jiaojian Co., Ltd. and Haichang Ocean Park, have also issued similar announcements.

The overdue event of the financial products mentioned by the three listed companies refers to the payment crisis of the “Zhejiang Financial Center.” The full name of “Zhejiang Financial Center” is Zhejiang Financial Asset Trading Center. Recently, many investors have posted on social media, claiming that “some financial asset income rights products traded on the Zhejiang Financial Center platform have not been paid upon maturity.”

Previously, investors could purchase certain “income rights products” through the Zhejiang Financial Center, expecting to obtain certain returns (for example, advertised yield rates of about 4% to 5%), attracting some individuals looking for stable financial management.

This time, a batch of financial management products sold on the Zhejiang Financial Center platform, backed by guarantees from Xiangyuan Holdings Group, failed to pay back the principal and interest to investors on time after maturing at the end of November 2025, resulting in overdue payments.

It is noteworthy that in late October 2024, the financial asset trading qualifications of the Zhejiang Financial Center were revoked.

The Zhejiang Provincial Local Financial Administration announced that it would no longer retain the financial asset trading qualifications of Zhejiang Financial Asset Trading Center Co., Ltd. (Zhejiang Financial Center). “From the date of this announcement, there will no longer be any financial asset trading venues in our province. The revocation of the financial asset trading qualifications of the Zhejiang Financial Center does not affect the company’s legal obligations and responsibilities for the existing business; it also does not affect the financing parties of existing business continuing to undertake responsibilities such as timely payments according to contract agreements.”

(Editor: Wenjing)

Keywords:

                                                            Xiangyuan System