Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

NEWSMAKER-China's Draka chaser loves long hours, foot massages

Published 11/30/2010, 05:56 AM
Updated 11/30/2010, 06:00 AM

* Du Kerong is military man-turned-entrepreneur

* Spends up to 20 hours daily working at Xinmao Group

* Relying on energy, charisma to close dark-horse deal

By Terril Yue Jones and Zhang Shengnan

BEIJING, Nov 30 (Reuters) - Du Kerong, the man behind China's surprise billion-euro bid for Dutch cable maker Draka, has led a turbocharged life that has seen him rise from humble roots to senior airforce officer and entrepreneur, getting by on as little as four hours of sleep a night.

The 55-year old Du is also renowned for stamina when entertaining business associates, able to down glasses of rice wine in single gulps, a former colleague recalled. "Even if we had the courage for that, we wouldn't have the stomach," he said.

Du's gutsy manner was on display in a surprise announcement last week when his flagship Xinmao Group offered to buy Draka , the world's No.5 maker of steel cables, which had already agreed to be acquired by Italy's Prysmian for 840 million euros.

Some said the fast-talking Du, who was in Amsterdam last week promoting the deal, may be relying on his deep pool of energy and charisma to elbow aside Prysmian and earlier suitor Nexans of France, the world's No. 2 and 1 cable makers by revenue, to pull off the deal.

"He's a good talker and a clear thinker," said the former Xinmao employee who worked closely with Du, speaking on condition his name not be used. "Sometimes his thoughts move so fast that subordinates can't keep up with him."

FROM AIRFORCE TO REAL ESTATE

Born in eastern China's Jiangsu Province, Du joined the army at 17, and the Chinese Communist Party a year later, according to a biography published by government of Tianjin's Nankai District, where Xinmao is based. He rose through the ranks to become a senior air force officer before leaving the military in 1992 to try his hand in the private sector. Du set up a construction materials company called Xinmao that year, which evolved into Xinmao Real Estate and later the Xinmao Group. Today Xinmao employs more than 30,000 and has more than 100 subsidiaries in construction, real estate, hotels, fibre optics, software and other high-tech fields.

"His family was destitute and had nothing," says a senior executive currently at Xinmao, also speaking on condition of anonymity as he was not authorised to talk about his boss. "Now, employees see him as farsighted and wise, and very persistent in his projects."

The executive also characterised Du as a hustling entrepreneur who poured his heart and soul into his company.

"When business was the toughest, around 1998-2000, he'd sell his car in order to buy materials for projects, which he would finish on time," he said.

For the few hours of sleep he manages after workdays of up to 20 hours, Du has attached a bedroom to his office in the industrial port city of Tianjin, about 120 km from Beijing, said the former employee.

Du prefers his office in the upscale Xinmao Tiancai Hotel down the street, where he goes for foot massages, to his desk at headquarters, a long-serving employee at the Xinmao compound said.

He is also realistic enough to recognize that he overcentralizes authority in himself and micromanages too much, according to the former colleague.

"He'd pull me aside and talk about how he neglected areas of management," he said.

(Editing by Doug Young & Kazunori Takada)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.