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

China Fund Reporter Taylor

Hello everyone. The overdue payment incident involving “Xiangyuan Group” financial products has continued to escalate, and all three of its listed companies have issued urgent announcements to “sever ties.”

On the evening of December 7, Xiangyuan Culture and Tourism announced that media reports have appeared online stating that financial products involving Xiangyuan Holding, an indirectly controlling shareholder of Xiangyuan Culture and Tourism, and that the company’s actual controller would assume joint liability guarantee responsibility, and that these products have partially failed to make overdue redemptions and payments, which has drawn investor attention.

The company has verified the relevant matters with Xiangyuan Holding and the company’s actual controller and conducted a self-inspection. To prevent false information from misleading the market and to protect investors’ lawful rights and interests, the company hereby makes the following statement:

1. There are partial cases of overdue redemption and payment for financial products issued on a certain platform involving projects in cooperation with Xiangyuan Holding real estate. Xiangyuan Holding and the company’s actual controller assume joint liability guarantee responsibility for the redemption and payment obligations mentioned above. Xiangyuan Holding and the company’s actual controller are currently communicating and handling the specific circumstances of the overdue redemptions with the relevant parties.

2. The financial products involved in this incident are not related to Xiangyuan Culture and Tourism and its participating and controlling subsidiaries. Xiangyuan Culture and Tourism does not assume any redemption or guarantee obligations, and the company has not provided any guarantee or credit enhancement for the redemption of any financial wealth management products.

3. The company’s production and operations are currently proceeding normally. Company management pledges to comply with the “Code of Corporate Governance for Listed Companies,” ensuring independence between the controlling shareholder and the actual controller in terms of assets, personnel, finance, institutions, and business.

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

The overdue payment incidents involving the financial products mentioned by the three listed companies refer to the redemption crisis of “Zhejiang Jinke Center.” “Zhejiang Jinke Center” has the full name Zhejiang Financial Assets Exchange Center. Recently, many investors have posted on social media, saying that “some financial asset income-right products traded on the Zhejiang Jinke Center platform have reached maturity but failed to be redeemed.”

Previously, investors could buy certain “income-right products” through Zhejiang Jinke Center and expected to obtain a certain return (for example, advertised a yield of about 4%~5%), attracting some people who hoped for relatively steady wealth management.

This time, a batch of wealth management products sold on the Zhejiang Jinke Center platform, which were guaranteed and endorsed by the Xiangyuan Holding Group, after they matured at the end of November 2025, failed to pay principal and interest to investors on time—meaning overdue redemptions and payments occurred.

It is worth noting that at the end of October 2024, the qualification for financial asset trading business of Zhejiang Jinke Center was revoked.

The Zhejiang Provincial Local Financial Administration issued an announcement stating that it will no longer retain the financial asset trading business qualification of Zhejiang Financial Assets Exchange Center Co., Ltd. (“Zhejiang Jinke Center”). “From the date of the issuance of this announcement, our province will no longer have any financial asset trading venue. After the cancellation of Zhejiang Jinke Center’s financial asset trading business qualification, it will not affect the company’s legally proper assumption of the legal relationships that it should bear, and it will continue to bear the market participant responsibility for disposing of existing business; it will not affect the financing entities of existing business in continuing to bear responsibilities such as making timely redemptions and payments in accordance with contractual provisions.”

(Editor: Wenjing)

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                                                            Xiangyuan Group