CH MODERN D recently announced plans to acquire China Shengmu for HK$2.016 billion, raising questions about President Sun Yugang's perspective.

Born in 1981, Sun Yugang holds an MBA from CEIBS but has not disclosed his undergraduate background. He began his career at Inner Mongolia Mengniu Dairy (Group) in 2002 as Finance and Investment Manager. After five years, he joined CH MODERN D as CFO, Executive Director, and Vice President.

Sun later served as Director, Vice President, and CFO at Hebei Yinong Network Technology (2016) and Jiangsu Yuguan Modern Agriculture Technology (2018). He rejoined CH MODERN D in 2019 as Executive Vice President, becoming Group President in 2022. His career demonstrates extensive financial and dairy industry management experience.

In 2024, Sun's compensation was 5.577 million yuan, down 390,000 yuan from 5.967 million in 2023. This remains the highest among company directors, exceeding Vice President Gao Xiaohui's 3.872 million yuan by over 2 million yuan.

Notably, CH MODERN D's total liabilities reached 23.33 billion yuan in H1 2024, with current liabilities at 7.333 billion yuan. The debt-to-asset ratio stands at 69.88%, nearing the 70% warning threshold. Short-term loans increased to 3.353 billion yuan while cash reserves declined to 3.123 billion yuan.

The proposed acquisition, valued at approximately HK$2.016 billion, presents financial challenges. However, as Mengniu Dairy's affiliate, CH MODERN D may benefit from shareholder support in managing these obligations.