China Express Delivery Billionaire Leaves Alibaba-Backed ZTO

China billionaire Lai Jianfa has left the board and his other positions at ZTO, one of China’s largest express delivery businesses, the company said on Sunday.

Lai’s resignation was approved by the board of directors on Friday, and came after ZTO announced an increase in first-quarter profit on Thursday.

Lai “tendered resignation to the board of directors of the company seeking to resign, for personal reasons, from his positions with the company,” ZTO said. “The board of directors accepted his resignation on May 27, 2022 with immediate effect.”

“Mr. Lai confirmed to the board of directors that his resignation does not involve any disagreement with the company with regard to its business, finance, accounting, or any other affairs,” ZTO said.

ZTO Chairman and CEO Lai Meisong will assume Jianfa Lai’s responsibilities as vice president of operations, said ZTO, which is approximately 9% controlled by China e-commerce heavyweight Alibaba.

ZTO, whose shares trade in New York and Hong Kong, on Thursday reported a jump in first-quarter profit amid the country’s Covid lockdowns. It also, however, warned of disruption in the second quarter. (See earlier post here.)

The Shanghai-headquartered company said revenue in the three months to March rose by 22.1% from a year earlier to 7,9 billion yuan, $1,25 billion. Net income, helped by revenue gains and higher prices, rose by 64.1% to 875.5 million yuan.

Lai Jianfa, 53, is worth $1.6 billion on the Forbes Real-Time Billionaires List today; Lai Meisong, 51, is worth $5.2 billion.

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