BUSINESS

Creditors Block Shanshan Group’s $463 Million Restructuring Plan

Published: Nov. 5, 2025 4:05 a.m. GMT+8

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The headquarters of Nongbo Shanshan in Ningbo, Zhejiang province.

A proposed 3.3 billion yuan ($463 million) restructuring plan for debt-laden Shanshan Group Co. Ltd. has collapsed after key creditor and shareholder groups voted it down, derailing the recovery effort of the once-prominent private enterprise.

The Ningbo-based firm, now focused on battery materials and polarizers, has been under court-supervised restructuring since February 2025, following the death of founder Zheng Yonggang and a subsequent family dispute. Creditors have filed claims totaling more than 44.2 billion yuan.

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Shanshan Group’s 3.3 billion yuan ($463 million) restructuring plan failed after rejection by key creditor and shareholder groups, jeopardizing recovery efforts.
The plan offered creditors trust units and diluted the Zheng family’s control, but faced lawsuits and lacked approval from major banks and stakeholders.
Shanshan faces 44.2 billion yuan in creditor claims, legal disputes, and operational setbacks, with the possibility of a court-mandated restructuring if revised proposals fail.

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Who’s Who

Shanshan Group Co. Ltd.: Shanshan Group Co. Ltd., based in Ningbo, is a debt-laden private enterprise specializing in battery materials and polarizers. It has been undergoing court-supervised restructuring since February 2025 due to the death of its founder and a family dispute. A proposed restructuring plan, involving a 3.3 billion yuan investment and a change in control, recently failed after being voted down by key creditor and shareholder groups.

Ningbo Shanshan Co. Ltd.: Ningbo Shanshan Co. Ltd. is a debt-laden listed unit of Shanshan Group Co. Ltd. It is based in Ningbo and focuses on battery materials and polarizers. Currently under court-supervised restructuring since February 2025, its proposed 3.3 billion yuan restructuring plan recently collapsed after key creditors and shareholders voted against it.

Jiangsu New Yangzi Trading Co. Ltd.: Jiangsu New Yangzi Trading Co. Ltd. is a shipbuilder whose chairman, Ren Yuanlin, is known as China's "private shipping king." The company was part of a consortium that proposed a 3.3 billion yuan restructuring plan for Shanshan Group Co. Ltd., intending to inject capital and gain a controlling stake. However, this plan failed to gain approval from Shanshan Group's creditor and shareholder groups.

TCL Industrial Investment: TCL Industrial Investment was part of a consortium, including New Yangzi and China Orient Asset Management Co. Ltd., that planned to inject 3.28 billion yuan into Shanshan Group. This investment would have given the consortium a 23.36% controlling stake in Shanshan Co. through direct purchases and trust structures.

China Orient Asset Management Co. Ltd.: China Orient Asset Management Co. Ltd. (China Orient) was part of a consortium proposing a 3.3 billion yuan restructuring plan for Shanshan Group Co. Ltd. This consortium, which also included New Yangzi and TCL Industrial Investment, intended to inject funds in exchange for a 23.36% controlling stake in Shanshan Co.

SIAMC Advanced Materials Co. Ltd.: SIAMC Advanced Materials Co. Ltd. was part of an investment consortium for Shanshan Group Co. Ltd.'s restructuring. They filed a lawsuit alleging exclusion from the plan by the administrator and New Yangzi, asking the court to halt the vote. The Ningbo court has not yet ruled on this case.

Industrial and Commercial Bank of China Ltd.: Industrial and Commercial Bank of China Ltd. is mentioned as one of the major lenders and creditors of Shanshan Group Co. Ltd. Its involvement is noted in the context of the failed restructuring plan, where crucial creditor approval was not secured.

China Construction Bank Corp.: China Construction Bank Corp. is listed as a major lender and one of the creditors involved in the collapsed restructuring plan for Shanshan Group Co. Ltd. The bank, along with other creditors, failed to approve the proposed plan, which aimed to address Shanshan's significant debt load.

Shanshan Holdings Corp.: Shanshan Holdings Corp. is facing default risks and over 200 lawsuits. It is owned by the late founder Zheng Yonggang and his wife. The holding company possesses a 54.8% stake in Shanshan Group, and its inclusion in the restructuring process is a key point of discussion.

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What Happened When

February 2025：: Shanshan Group Co. Ltd. was placed under court-supervised restructuring following the death of founder Zheng Yonggang and a subsequent family dispute.

April 2025：: Shanshan’s court-appointed administrator reported lacking access to key documents, preventing a full audit of the company’s accounts.

August 2025：: Shanshan’s court-appointed administrator again reported lacking access to key documents, including legal files and board resolutions.

September 30, 2025：: The investment plan for Shanshan was signed, proposing a consortium to inject 3.28 billion yuan for a controlling stake.

By November 3, 2025：: The restructuring plan for Shanshan failed after being voted down by secured and unsecured creditors and shareholder groups; only employees and tax creditor groups backed the proposal.

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