At 55, an age often considered the peak of leadership, Xu Xudong, founder of Ningbo Xusheng Group Co., Ltd., is finalizing the sale of his company to state-owned Guangzhou Industrial Control Group. The deal, valued at approximately 4.295 billion yuan, awaits regulatory approval.
Xu, a self-made billionaire, rose from poverty—starting as an apprentice at 15—to build Xusheng into a Tesla Tier-1 supplier specializing in lightweight automotive solutions. Despite the company’s success, Xu has twice attempted to relinquish control, signaling his firm exit intent.
**Deal Details** - The transaction involves Xu, his wholly-owned entities Ningbo Meishan Free Trade Zone Xusheng Holding (26.03% stake), and Hong Kong Xuri Industrial (19.6% stake). - Guangzhou Industrial Control Group will acquire the stakes, transferring ultimate control to the Guangzhou Municipal Government. - The price reflects a steep discount to market value, underscoring Xu’s urgency.
**Business Pressures** Xusheng’s revenue dipped 1.5% YoY to 3.23 billion yuan in Q1–Q3 2024, with net profit falling to 300 million yuan. While expanding overseas (46.3% of H1 revenue) and diversifying into robotics/energy storage, its core auto segment (88% of 2023 revenue) faces headwinds.
**From Rags to Riches** Xu’s journey—from a debt-ridden entrepreneur to a key Tesla partner—is legendary. His family-run management, despite modest educational backgrounds, steered Xusheng to 13 billion yuan in assets.
As Xu steps back, questions linger: Will new ownership sustain his vision to lead global EV lightweighting?
*What’s your take—strategic exit or premature retreat?*
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