GREE(SZ:000651) 3 6 Ke·2026-02-26 00:07Core Viewpoint - Gree Electric Appliances, Inc. announced a share reduction plan by its largest shareholder, Zhuhai Mingjun Investment Partnership, which holds 16.11% of the company’s shares, aiming to sell up to 111,702,774 shares to repay bank loans, potentially raising over 4 billion yuan at the current stock price of 38.49 yuan [1][2]. Shareholder Structure - As of September 30, 2025, Zhuhai Mingjun holds 16.11% of Gree Electric, followed by other shareholders including Jinghai Internet Technology (7.83%) and Hong Kong Central Clearing (3.93%) [2][3]. - Gree's major shareholders include Zhuhai Mingjun, which is a fund under Hillhouse Capital, and other entities such as Zhuhai Gree Group and China Securities Finance [2][3]. Financial Performance - Gree Electric reported a revenue of 137.18 billion yuan for the first nine months of 2025, a decrease of 6.5% year-on-year, with a net profit of 21.46 billion yuan, down 2.27% [7][8]. - The company’s earnings per share decreased by 11.27% to 1.26 yuan, and the weighted average return on equity fell to 5.06%, down 1.37% [8]. Investment Background - Hillhouse Capital invested a total of 41.662 billion yuan in Gree Electric, with an average cost of 46.17 yuan per share, and has faced significant losses, with a current unrealized loss of approximately 20 billion yuan [3][6][10]. - The investment was financed through a combination of Hillhouse's own funds and bank loans, with all shares pledged to banks for a six-year term [4][6]. Governance and Control - Despite being the largest shareholder, Hillhouse Capital has limited influence in Gree's governance, with only one non-independent director nominated and the board largely controlled by CEO Dong Mingzhu's faction [6][10]. - Hillhouse's passive role has led to it being described as a "silent shareholder," with its investment performance lagging behind other projects [10].