The top job at China’s most valuable domestically listed company, Kweichow Moutai Co. , is set to change hands after less than two years.
The proposed switch comes eight months after regulators reprimanded the current chairman, Gao Weidong, for improperly disclosing sales forecasts. It will see Mr. Gao, a former transport chief, replaced by another local-government official from the province of Guizhou, which indirectly owns a majority stake in the company.
With a market capitalization of about $315 billion, the liquor-maker is one of the world’s most valuable consumer-goods companies and a key holding in the Chinese stock portfolios of many foreign investors. It has also proved a valuable asset for the local authorities.
The Guizhou government has picked Ding Xiongjun, director of the southwestern province’s energy bureau, to replace Mr. Gao as chairman and director of the company, according to separate statements earlier this week from Moutai and from the local government. Mr. Ding’s appointment is subject to a board meeting and shareholder approval, the company said. Neither statement mentioned the earlier regulatory action.
The change wasn’t surprising given the earlier regulatory warning, analysts at Citigroup said in a report, adding that they didn’t expect a significant impact on Moutai’s business.
