A Farewell to David Webb, a Legendary Figure in Hong Kong’s Capital Markets (AI Translation)
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文｜财新 王端 王小青
By Caixin's Wang Duan and Wang Xiaoqing
【金融我闻/王端、王小青】5月12日，香港，天气晴朗。在中环下亚厘毕道的一栋百年建筑中，各国记者和政商界人士翘首以待大卫·韦伯（David Webb）的到来。
[Finance Reported by Wang Duan and Wang Xiao Qing] On May 12, Hong Kong basked in clear weather. Inside a century-old building on Lower Albert Road in Central, journalists from around the world and figures from business and political circles awaited David Webb’s arrival with great anticipation.
这里是香港外国记者会俱乐部，俱乐部的前身可以追溯到1943年的国民政府时期。每当国际知名人士访港或本地政商界人士有意传达信息时，通常会选择在这个俱乐部举办午餐会。
This is the Foreign Correspondents’ Club in Hong Kong, an institution whose origins can be traced back to the era of the Nationalist Government in 1943. Whenever internationally renowned figures visit Hong Kong, or when prominent local political or business leaders wish to convey a message, they often choose to hold a luncheon at this club.
但是这一次，用俱乐部人士的话来说，迎来的是一场生前的告别仪式，或许也是韦伯最后一次现身该俱乐部。现年59岁的韦伯，在2020年被诊断患上凶险的前列腺癌。现在，他所剩时间或许不多，最大期冀就是今年8月可以在自己60岁生日上吹蜡烛、许下再过生日的愿望。
However, as one club member put it, this time marked a farewell ceremony before death—possibly also the last appearance of Weber at the club. Now 59 years old, Weber was diagnosed with aggressive prostate cancer in 2020. His time may be running short, and his greatest hope is to be able to blow out the candles and make a wish for another birthday at his 60th birthday celebration this August.
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- David Webb, a prominent advocate for corporate governance in Hong Kong, is widely respected for exposing market misconduct, most notably through his “Enigma Network” reports, which revealed risky cross-shareholdings and led to regulatory investigations.
- Diagnosed with aggressive prostate cancer in 2020, Webb is winding down his influential website, webb-site.com, releasing its database and software publicly under a CC-BY license for continued public access.
- Webb remains optimistic about Hong Kong’s future, stressing the importance of market confidence, regulatory integrity, and maintaining unique local advantages amidst regional integration.
Summary
On May 12, 2025, David Webb, a prominent British activist investor and corporate governance advocate in Hong Kong, attended a farewell luncheon at the Foreign Correspondents' Club as he battles advanced prostate cancer. Diagnosed in 2020, Webb’s prognosis has become grave, and he hopes to reach his 60th birthday in August 2025. The event attracted intense public and international media attention, reflecting Webb’s outsized influence in Hong Kong’s capital markets. Known for challenging powerful business interests and championing small investors, Webb’s analytical rigor and transparency advocacy have earned him widespread respect, even as he has courted enmity from market tycoons[para. 1].
Webb’s background is as diverse as it is accomplished. After graduating in mathematics from Oxford in 1986, he first made a mark as an early computer game designer in the UK before moving into investment banking and consulting roles, notably at Barclays Hong Kong and Wheelock & Company. In 1998, he became a full-time investor and launched webb-site.com, a nonprofit site dedicated to tracking Hong Kong stock market operations, exposing corporate malfeasance, and compiling a comprehensive, manually collected database of public company and market data. His investment track record and annual stock recommendations (discontinued post-2009 due to conflict-of-interest concerns) made him a trusted voice among retail investors. As of 2025, Webb holds over a 5% stake in 22 Hong Kong-listed companies[para. 2].
Known for his “outspoken” style at shareholder meetings, Webb shifted from a "poacher"—a sharp outsider critiquing corporate structures—to a "gamekeeper" after serving as an independent director at the Hong Kong Stock Exchange from 2003 to 2008 and as deputy chair of the Securities and Futures Commission’s (SFC) Takeovers and Mergers Panel for 24 years. His investigative efforts notably derailed the privatization of PCCW in 2009 by exposing suspected vote-buying, prompting court and regulatory intervention that ultimately blocked the delisting. Webb has continuously pushed for reforms including independent election of non-executive directors, class-action access, and the “one share, one vote” principle[para. 3].
Webb’s most renowned exposés include his “Enigma Network” reports, mapping intricate webs of cross-shareholding among as many as 50 Hong Kong-listed companies, warning investors against opaque, potentially manipulated stocks. His work triggered regulatory crackdowns, trading suspensions, and widespread investigations—including the landmark probe of Convoy Global Holdings. He also unveiled networks linked to China Huarong Asset Management, exposing risky leverage and complex ties that paralleled unprecedented anti-corruption investigations in China, ultimately leading to multiple criminal convictions, including death sentences for key executives[para. 4].
With his health in decline, Webb announced the gradual closure of webb-site.com in early 2025, determined to preserve its integrity by releasing all data and software under a Creative Commons “CC-BY” license via GitHub, hoping for its continuation by like-minded public-interest groups. He declined several proposals to commercialize or compromise the platform, maintaining his commitment to open access and transparency. At his farewell luncheon, Webb remained optimistic about Hong Kong’s potential, even as he warned the city to retain its unique advantages in the face of integration with the Greater Bay Area and geopolitical change. He predicted that Hong Kong may eventually adopt the renminbi but saw little immediate risk to its linked exchange rate regime[para. 5].
- Barclays Bank
- According to the article, David Webb moved to Hong Kong in 1991 and served as Director of Corporate Finance at the Hong Kong subsidiary of Barclays Bank. Barclays is a major British multinational bank and financial services company headquartered in London, known for offering a wide range of financial products and services globally. The article mentions Barclays in the context of Webb’s career before he became an independent investor and corporate governance advocate in Hong Kong.
- Wheelock & Co.
- Wheelock & Co. is described as a long-established, comprehensive corporate group in Hong Kong. David Webb served as an internal advisor there after moving to Hong Kong, mainly providing advice on corporate structure and financial management.
- PCCW Limited
- PCCW Limited, controlled by Richard Li (son of tycoon Li Ka-shing), became the center of a major privatization attempt in 2008-2009. David Webb exposed a vote-buying scandal where insurance agents allegedly received PCCW shares to favor the privatization. The Hong Kong court initially approved the privatization, but after investigation and appeals, it was ultimately rejected. This case highlighted governance and fair practice issues in Hong Kong’s financial markets.
- Pacific Century Regional Developments
- Pacific Century Regional Developments is not described in detail in the article, but it is referenced as a major shareholder controlled by Richard Li (Li Zekai), son of Hong Kong tycoon Li Ka-shing. In 2008, the company, along with China Netcom, proposed to privatize PCCW (now HKT), a move investigated after David Webb raised concerns about potential vote-buying during the privatization process.
- China Netcom Group
- According to the article, China Netcom Group was one of the major shareholders involved in Richard Li's attempted privatization of PCCW (Pacific Century CyberWorks). The privatization plan required the approval of minority shareholders and ultimately failed after allegations of vote-buying and legal challenges. China Netcom, alongside Pacific Century Premium Developments, was a significant entity in this high-profile corporate governance controversy in Hong Kong’s capital markets.
- FTLife Insurance Company Limited
- FTLife Insurance Company Limited (formerly known as 富通保险（亚洲）有限公司) is mentioned in the article in relation to the privatization vote of PCCW. Several FTLife insurance agents allegedly received one board lot (1,000 shares) of PCCW stock as an incentive to vote in favor of privatization, prompting whistleblower David Webb to report the potential vote-buying incident to Hong Kong authorities in 2009.
- Convoy Global Holdings
- According to the article, Convoy Global Holdings (康宏环球) was a core stock within David Webb's "Enigma Network" reports, which exposed complex cross-shareholdings among 50 Hong Kong-listed companies. Convoy became notorious after Webb's warning in 2017; the stock subsequently crashed and was delisted in 2021. The report also triggered investigations by Hong Kong's SFC and ICAC into concentrated ownership and suspected market manipulation involving Convoy and related firms.
- Health and Happiness International Holdings
- Health and Happiness International Holdings (康健国际, stock code 03886.HK) is mentioned in the article as one of the core companies involved in David Webb’s “Enigma Network” (“谜网50”) investigation. The company formed part of an intricate web of Hong Kong-listed firms with complex cross-shareholding structures, which Webb warned investors to avoid due to governance and transparency concerns.
- China Huarong Asset Management Co., Ltd.
- China Huarong Asset Management Co., Ltd. (Huarong) is a major Chinese financial asset management company. The article highlights its involvement in a network of complex shareholdings exposed by David Webb in 2018. Huarong was at the center of significant corruption scandals, notably involving its former chairman Lai Xiaomin, who was sentenced to death and executed in 2021. The company has since undergone internal restructuring and asset disposals.
- China Minsheng Bank
- According to the article, China Minsheng Bank (01988.HK) appears within the "Enigma Network" uncovered by David Webb. It is intricately linked to Minsheng Capital Holdings and China Huarong, with relationships involving complex shareholding structures and financial dealings. The bank was identified as a major shareholder in Minsheng Capital, which was reportedly leveraged and closely tied to both Huarong and other related entities in the network.
- CMBC Capital Holdings Limited
- CMBC Capital Holdings Limited (民银资本控股有限公司, 01141.HK) is a Hong Kong-listed company controlled 60.62% by China Minsheng Bank and with a 4.09% stake held by Huarong Overseas (a subsidiary of China Huarong). According to David Webb's 2018 investigation, its tangible net asset value then was HK$1.074 billion, versus a much higher market value, and it relied on highly leveraged loans from its shareholders.
- China Soft Power Technology Holdings Limited
- China Soft Power Technology Holdings Limited (stock code: 00139.HK, now renamed Zhongda Group) was listed as a shareholder of Minsheng Capital (01141.HK) in David Webb’s 2018 “Enigma 26” investigative report. The company also received loans from Huarong Overseas, tying it to China Huarong’s complex network of interests and suspected “bubble” operations in the Hong Kong stock market.
- Zhongda Group Holdings Limited
- Zhongda Group Holdings Limited (formerly known as China Soft Power Technology Holdings Limited, stock code 00139.HK) was mentioned in the context of David Webb’s "Enigma Network" reports. It was identified as a shareholder in Minsheng Capital (01141.HK), and also received loans from Huarong Overseas—linking it to complex cross-holdings and leverage issues within the investigated Hong Kong-listed company networks.
- Landing International Development Limited
- Landing International Development Limited (stock code 00582.HK, now renamed as Myth World), was highlighted in David Webb's "Enigma Network" investigations. The company was linked to complex cross-shareholding structures involving major players such as Huarong and Yao Zhenhua, as well as its chairman Yang Zhihui. These relationships revealed opaque financial dealings and potential stock price manipulation within Hong Kong’s capital markets.
- Shenhua World
- According to the article, Shenhua World is the current name for Blue Sky International (stock code 00582.HK). It was mentioned as being involved in the "mystery network" of interconnected Hong Kong-listed companies, with its chairman Yang Zhihui connected to benefit chains uncovered by David Webb.
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