Kenneth Fang

Kenneth Fang Hung GBS CBE JP (; November 20, 1938 - August 28, 2022) was a Hong Kong billionaire industrialist, politician, and philanthropist. He was known as the "King of Textiles".

Early life Fang was born on November 20, 1938, in Xiaohai Town, Nantong City, Jiangsu Province. He lived in Hong Kong from the 1950s onward. For his early education, he graduated from Pui Ching Secondary School in 1956. Fang received a Bachelor of Science from the University of Michigan and a Masters of Science in chemical engineering from the Massachusetts Institute of Technology.

Family background The Fang family with roots in Haimen, Nantong, Jiangsu, China has long had a prominent position in Hong Kong. They are deemed by Forbes as "the largest amongst the dozen-or-so of families that dominate Asia's textile industry".

Fang's father, Fang Shui Chow (Chinese: 方肇周), made his first fortune in the yarn trade in Shanghai. Fang Shui Chow later moved to Hong Kong on the eve of the Communist takeover in 1949, shipping hundreds of the most technologically advanced cotton spindles to the entrepôt before his arrival. He was regarded as one of the pioneers of Hong Kong's 20th century industrial boom. One of Fang's brothers is Vincent Fang, who inherited and was the chief executive of the Toppy Group, overseeing the family's multi-billion-dollar apparel retailing operations. He is also the former chairman & leader of the Liberal Party of Hong Kong, and a former member of the Legislative Council of Hong Kong.

Career

Textile and apparel manufacturing In the 1960s, Fang joined his father's textile-making business, S.C. Fang & Sons, for one year. Fang’s family was one of the largest holders under the textile quota system, which was in place throughout the second half of the 20th century and abolished in 2005. They held near-monopolistic control and investments in the textile industry.

Fang was best known for founding Fang Brothers Knitting Limited (Chinese: 肇豐針織) in 1965, which was the world's largest producer of knitwear and garments throughout the second half of the 20th century, and remains one of the largest. After shopping at name-brand department stores Jordan Marsh and Filene's during his studies at MIT, he saw the demand for simply constructed sweaters, which led him to manufacture knitwear on a private-label basis. The firm supplied to companies including Ralph Lauren, Burberry, Brooks Brothers, J.Crew, and more.

Fang was widely regarded as the leader of Hong Kong's textile & garment industry for his contributions. Fang was credited with modernizing the industry by introducing Western production and business formats and employing vertical-integration practices. During the 1980s, he led and successfully defended Hong Kong against a case raised by the US Department of Commerce on a US Anti-Dumping Duty Order against MMF Sweaters from Hong Kong. In 1999, he chaired the Textiles and Garment Industry Revitalisation Committee and established a plan to strengthen Hong Kong’s position as a world fashion hub, which was implemented by the Hong Kong government in 2000. In 2001, he led the establishment the Hong Kong Fashion and Design Centre.

Fang started the retailing & trading arm in 1973, his portfolio of owned brands included Pringle of Scotland, Episode, Jessica, Color Eighteen, Jean-Pierre, and Excursion amongst others, operating over 1,000 stores worldwide. Luxury knitwear fashion-house Pringle of Scotland, acquired in 2000, holds a royal warrant and is one of the world's oldest continually operating fashion companies. He has reportedly personally invested over £100 million into the brand. GRI, a subsidiary operating Fang's licensing and franchising business, distributes a wide range of brands, including being the exclusive licensee of Nine West, Anne Klein New York, and Easy Spirit in Asia and Europe.

Fang's electronics arm included several companies primarily focused on the mainland China region. He acquired Yeebo International Holdings (SEHK: 259) in 1997, a manufacturer of liquid crystal displays, OLED, and eyewear. He was deemed a "white knight" by the media for turning around the company's debt and legal issues. Yeebo Display, a subsidiary, is the world's largest manufacturer of flat-panel LCD displays. In 2005, he acquired a controlling stake in Nantong Jianghai Capacitor Co (SHE: 002484), China's largest manufacturer of capacitors, from a state-owned enterprise. Its core business focuses on producing aluminium electrolytic capacitors. Since taking the company public in 2010, the stock has risen over 300% to-date. In collaboration with CITIC Capital, through China Auto System Technologies, he also held a major stake in Aotecar (SHE: 002239), China's largest manufacturer of air conditioning compressors and HVAC systems.

Fang was praised for re-investing heavily into his hometown, Nantong, and other regions in Jiangsu. He reportedly established over ten businesses in the retail, beer, printing, real estate, and healthcare industries. Amongst those businesses included hypermarket chain Times Ltd, which he sold to Lotte Shopping in 2009 for US$630 million, remaining as the largest acquisition of a Chinese company by a Korean firm to date. He personally pocketed over US$450 million from the sale. Another was Jiangsu Dafuhao Breweries, one of China's 10 most popular beer brands and the most popular in the Jiangsu province. It was later sold to Heineken for an undisclosed amount.

Member of the Selection and Preparatory Committee for the first Government of the Hong Kong Special Administrative Region Member of the Election Committee (Hong Kong) Member of the Hong Kong Affair Advisers to Beijing Member of the One Country Two Systems Research Institute Member of the Hong Kong Coalition

Awards and recognition Fang received several honours and awards:

Fang was frequently involved in philanthropic activities. Since 1990 he has donated more than $100 million to his hometown, Nantong. These include the construction of several primary and secondary schools in the city, establishment of a program that sent gifted students to Hong Kong each year on a multi-day exchange, donation of $10 million to Nantong University, donation of $3 million to found a cultural arts museum, and gift of $35 million worth of textile weaving equipment. He also made significant contributions to higher education institutions. He donated over $40 million to Nanjing University, where the gymnasium & multi-sports complex is named in honour of his late father. In 2004, he donated $5 million to Shanghai Jiao Tong University, establishing the Kenneth Fang Reward Fund. He made several donations to his alma mater, Massachusetts Institute of Technology, including a $1 million endowment to found the Chinese Language Program in 1992. His son, Douglas, is a member of the MIT Corporation. In 2004, the Fang Brothers Whole Person Development endowment fund at the City University of Hong Kong was established with a large donation, which continues to provides annual scholarships. He established the Fang Professorship in Engineering at the Hong Kong University of Science and Technology, which has been in place since 2016.