On 22 December, the 8th Shanghai Forum Themed Zhejiang Entrepreneurs in the World & 2024 Annual Meeting of ZCCS (Zhejiang Chamber of Commerce in Shanghai) took place at the Shanghai International Convention Center. The forum, themed around "New Intelligence," "New Voices," "New Industries," and "New Landscapes," featured discussions with numerous academicians, economists, technology pioneers, and well-known entrepreneurs. Guo Guangchang, Chairman of Fosun International, attended the event and delivered a keynote speech, sharing his insights on macroeconomic trends, the business environment, innovation and global development of private enterprises, and Fosun's strategic direction.

Guo Guangchang stated, "We must seek development opportunities and optimistically leverage development to address challenges, embodying the ‘Four Thousand Spirit’ of Zhejiang entrepreneurs."

Focusing on core businesses and industries with established advantages for strategic advancement and exits

"This year, we are placing greater emphasis on both advancement and strategic exits, and leveraging development to address challenges. We are divesting from non-core and heavy assets. On one hand, this aims to reduce debt and achieve 'investment-grade' ratings, but more importantly, it focuses on restructuring our asset portfolio. On the other hand, we must resolutely focus on our core businesses and the industries where we have established advantages," Guo Guangchang outlined Fosun's clear strategic direction in focusing on its core businesses over the past year.

Regarding further bolstering its cores businesses, Guo Guangchang remarked, "This year, Fosun announced two privatization plans: one for Shanghai Henlius and another for Fosun Tourism Group (FTG). We have established advantages in the pharmaceutical and tourism sectors, and we hope that these privatizations will enable us to develop more flexibly and rapidly."

Transitioning to asset-light operations and "relying on operational capabilities for future success"

Guo Guangchang also shared his views on business transformation, a topic of great interest to Zhejiang enterprises.

"We must transition to asset-light operations. We have developed asset management capabilities from our past experiences. Looking ahead, we will need to rely on our operational capabilities for future success," Guo Guangchang stated. "I believe that only institutions with low-cost financing capabilities can directly hold heavy assets in the future." Therefore, he advised private enterprises to fully leverage their operational advantages and strengthen cooperation with various parties for win-win outcomes.

Guo Guangchang also introduced Fosun's asset-light operations. "For example, following our investment in the Taicang Alps Resort Phase I project, the Phase II project will be funded by the Taicang Municipal Government with RMB5.0 billion and managed by FTG. We are also negotiating to transform a mall into a super complex that integrates culture, business, and tourism, which will also be managed by FTG as an asset-light operation."

Moreover, the ULTRAMED Hainan project was officially launched in October this year. Located in Sanya's "National Coast" at Haitang Bay, adjacent to Atlantis Sanya, the ULTRAMED Hainan features a cultural performance center, luxury hotels, crystal lagoons, and various sports activities such as surfing and diving, forming a super tourism cluster with Atlantis Sanya in the future.

Developing globalization capabilities: leveraging China's unique advantages to connect with global growth momentum

“Anti-involution” has now become a key strategy for promoting high-quality national economic development. Guo Guangchang stated, "We need to pursue innovation, not involution. Many industries in China are already highly competitive. We should leverage China's unique advantages in efficiency, innovation, resources, and costs to connect with global growth momentum and tap into global markets through overseas expansion.”

"By fully utilizing our domestic supply chain advantages and product competitiveness, we can engage in the global market and provide a wider range of choices for customers worldwide," Guo Guangchang said.

In terms of globalization, Fosun has been a leading example of Chinese enterprises going global. For example, in the pharmaceutical sector, Shanghai Henlius, which focuses on developing first-in-class biologics, is steadily advancing its globalization strategy and has established a presence in over 50 countries and regions. In late November, Shanghai Henlius' flagship product, HANQUYOU, was shipped to the U.S. for the first time. At the 2024 Annual Meeting of Zhejiang Chamber of Commerce Annual Meeting （ZCCS）, Shanghai Henlius was honored with "Golden Business Card" award for its pioneering efforts in overseas expansion.

Guo Guangchang encouraged Zhejiang companies to develop globalization capabilities and expand into global markets. "This not only helps bring China's innovations, technologies, and products to the global stage but also enhances corporate profitability."

"Yesterday was the winter solstice, and from now on, each day will bring more light and warmth. I encourage everyone to remain optimistic, work together, and embrace a brighter future," Guo Guangchang said.