Tang Wanxin and Tang Wanli, owners of D'Long Strategic Investments, are the most influential tycoons in the Chinese mainland capital market because they controlled the most public capital among Chinese entrepreneurs, according to the China Capital 50 list released Wednesday.

The Tang brothers controlled five domestically listed firms with a total tradable market capital of US$2.6 billion, topping the China Capitalist 50 List compiled by Rupert Hoogewerf, the man behind the country's richest people list over the past four years. Ranking on the list is based on the capitalization of the tradable equities controlled by tycoons.

Wanli, 47, and Wanxin, 39, started business by developing films on behalf of a small group of university friends in 1986. They soon expanded their business into the computer and entertainment industries before trading stocks and shares in early 1990s.

The big breakthrough came in 1996, when the group became the first private firm to take over a domestically listed company and consolidate the tomato sauce and cement industries in China's northwest.

Since then, D'Long has invested into finance, heavy trucks, power tools, textile and tourism sectors.

The brothers were followed by Ding Lei, who owns Nasdaq-listed Chinese-language portal Website NetEase.com Inc with a tradable market capitalization of US$1.76 billion.

The 32-year-old software engineer vaulted to the No 1 position in this year's rich list, owning a personal wealth of US$900 million, thanks to a 50-fold upsurge in shares of NetEase over the past two years.

The 50 listed entrepreneurs control 82 listed companies with a total tradable market capital of US$20 billion on six exchanges, including Shanghai, Shenzhen and Hong Kong, averaging out at US$400 million each.

"The average price-to-earnings ratio of listed firms controlled by the enlisted entrepreneurs is higher than that for the broader market, which has reflected the high expectation among investors for China's private sector," said Hoogewerf, who reviewed annual reports from public companies and interviewed entrepreneurs, investors and intermediary organizations, such as investment bankers and lawyers.

All the market capitalization was calculated on the share price as of September 10.

The Tang brothers were ranked 25th in this year's Chinese mainland 100 richest people list. Their personal wealth amounted to US$230 million.

(Shanghai Daily October 22, 2003)