Cristiano Ronaldo, pastel de nata, and Vasco da Gama are all from Portugal. However, the “treasures” of Portugal are not limited to these well-known icons and culinary delights. As Guo Guangchang, Chairman of Fosun International, once said, "Portugal holds great significance for us (Chairman Guo said at the BEYOND Expo)."

"Portugal plays a significant role in Fosun’s globalization strategy. We hold a majority stake in Portugal's largest insurance company (Fidelidade), and are the largest shareholder in Portugal's largest commercial bank (Millennium BCP). Furthermore, we operate the hospital chain Luz Saúde in Portugal (Chairman Guo said at the BEYOND Expo)."

Portugal,Fosun's new gateway to globalization

The story of Fosun and Portugal begins with the Eurozone debt crisis in 2013, when Portugal faced severe financial shortages and an unemployment rate of 17%. In an effort to reduce debt, the Portuguese government started privatizing state-owned enterprises.

In May 2014, Fosun acquired Fidelidade for approximately EUR1.0 billion. “How did Fosun's journey in Portugal begin? It started in 2014 when I attended a conference in Macao and learned about the opportunity in Fidelidade (Chairman Guo said at the BEYOND Expo),” Guo Guangchang said.

For Fosun, this seemed like a fortunate coincidence, yet it was also a natural progression.

Since its listing in 2007, Fosun has embarked on an internationalization journey and globalization has become an important part of its development strategy. As early as 2010, Fosun had already partnered with Club Med, and Pramerica Fosun was established in 2012. Thus, when the opportunity to acquire Fidelidade arose, it felt like a logical step.

A decade of preparation to lay a solid foundation

Founded in 1808, Fidelidade was already a market leader in Portugal prior to Fosun Fosun's acquisition, boasting mature products and a well-established market presence. However, looking to the future, Fidelidade needed to diversify its business and asset allocation for new growth opportunities.

With extensive experience in the “insurance + investment” sectors, Fosun quickly helped Fidelidade diversify its asset allocation, broadening its scope across real estate, tourism, healthcare, and consumer sectors in Portugal and Europe.

The strategy of building an ecosystem around “insurance +” became a path for Fidelidade’s growth. With Fosun’s support, Fidelidade acquired a 96% stake in Espírito Santo Saúde's hospital operations (later renamed Luz Saúde) for approximately EUR460 million in October 2014.

In 2016, Fosun became the largest shareholder in Portugal's largest bank Millennium BCP. Within just two years, Fosun established a strategic presence in insurance, healthcare, and banking, creating an integrated ecosystem of “insurance + health + banking.” This strategic alignment has enabled the three companies to empower one another and expand their profit margins.

Targeting new territories for overseas expansion

Jorge M. Correia, Chairman of Fidelidade, once described the company as a "big fish in a small pond." Just as a big fish ultimately seeks the vast ocean, Fosun and Fidelidade’s operations extend beyond the Portuguese market.

Fosun’s vision of globalization is not limited to a “two-way exchange” between the world and China. It encourages ecosystem enterprises to actively expand beyond their local markets within their respective fields. This vision is best demonstrated by Fidelidade.

Since the acquisition in 2014, Fosun has supported Fidelidade in expanding its overseas operations. Unlike many companies that target mature markets such as Europe and America, Fosun understands the challenges in overseas expansion. With its extensive global experience, it has identified Portuguese-speaking regions as "new territories" for Fidelidade's overseas expansion.

Over the past decade, Fidelidade's share of overseas revenue has increased from less than 5% in 2014 to nearly 35% today, with operations spanning 13 countries across Europe, Africa, and Latin America. The total gross written premiums from international business now account for over 30% of the total, and international business contributes over 40% of total profits.

Win-win collaboration, the essence of globalization

This raises a question: how has Fosun managed to thrive in Portugal while also establishing a positive reputation in the local community?

Fosun and Fidelidade's local strategies may offer us some clarity. Fosun has encouraged Luz Saúde to expand its hospitals, creating nearly a thousand job opportunities locally. By leveraging its experience in digitalization, Fosun has accelerated the digital transformation of its Portuguese enterprises, providing users with convenient online services.

In addition to business operations, Fosun has fully supported Fidelidade to give back to the local community. Fidelidade, in collaboration with Luz Saúde and the Fosun Foundation, launched the "Protechting Global Youth Innovation and Entrepreneurship Competition" to support young people realize their innovative dreams. In addition, the annual Fidelidade Community Award supports the social inclusion of people with disabilities, making a lasting impact on the Portuguese community.

More importantly, Fosun has built a bridge for cultural exchange between China and Portugal. In 2018, the Fosun Foundation hosted a Sino-Portuguese contemporary art exhibition in both Shanghai, China and Lisbon, Portugal, fostering a vibrant arts and cultural exchange between the two nations.

Over the past decade, Fosun has worked hand-in-hand with Portuguese companies to achieve sustained growth while creating long-term value for the local community. Portugal has become a gateway for Fosun to connect with Portuguese- and Spanish-speaking countries.

The story of Fosun and Portugal shows that Chinese enterprises can be more than just opportunity-driven players. They can also create lasting value. This may well represent the mission of Chinese companies in their future globalization efforts.