Have you ever seen a company that grew so fast it became the largest in its industry, then borrowed so much money it could not pay it back? That is Evergrande. Xu Jiayin built it. This Celebrity Story: Xu Jiayin will introduce you to a man who rose from poverty to become one of the richest people in China, then lost almost everything. He was born in China. He grew up poor. He worked in a factory. He started a steel business. He moved into real estate. He built Evergrande into the largest property developer in China. He borrowed hundreds of billions of dollars. He bought a soccer team. He tried to build electric cars. Then the money ran out. Evergrande collapsed. He went from hero to cautionary tale.
Let us meet the man who aimed for the stars and fell to earth. Xu Jiayin said, "We must dare to dream."
Who Is This Celebrity?
Xu Jiayin is a Chinese billionaire businessman and former real estate tycoon. He was born in 1958. He is still alive. He is the founder and former chairman of the Evergrande Group, once the largest real estate developer in China. Evergrande built housing complexes across China. It also owned a soccer team, a film studio, and an electric car company.
Why is he famous? He built Evergrande into a giant. At its peak, Evergrande had over $300 billion in assets. It employed over 100,000 people. Xu was one of the richest people in Asia. Then he borrowed too much. The Chinese government cracked down on debt. Evergrande could not pay its bills. It defaulted on its loans. The company is now in crisis. Xu lost most of his fortune.
Early Life and Childhood
Xu Jiayin was born in Zhoukou, Henan, China. He grew up in a small village. His family was very poor. His father was a veteran of the Chinese Civil War. His mother died when he was young. He was raised by his grandmother.
He worked hard. He studied. He went to college. He studied at the Wuhan University of Science and Technology. He earned a degree in metallurgy. That is the study of metals.
He graduated in 1982. He got a job at a steel factory. He worked as a technician. He was a good worker. He was promoted. He was a factory manager by age 30.
He was restless. He wanted more. He wanted to build something bigger.
Education and Learning Journey
Xu Jiayin studied at the Wuhan University of Science and Technology. He learned about metallurgy and industrial management. He learned how to run a factory.
In 1996, he left the steel industry. He moved to Guangzhou. He started a real estate company. He called it Evergrande. The name means "always big" or "eternal greatness."
He had a small office. He had a small team. He built his first project, a housing complex called Jindu Garden. It sold out quickly. He made a profit. He reinvested.
He expanded aggressively. He bought land. He built housing. He sold units before they were finished. He used the money from presales to build more. This is a common real estate model. He did it on a massive scale.
He also focused on quality. Evergrande apartments had nice landscaping. They had swimming pools. They had gyms. They were attractive to buyers.
How Did They Become Successful?
Xu Jiayin became successful by borrowing money. He borrowed from banks. He borrowed from bond investors. He borrowed from anyone who would lend. He used the money to buy land. Land prices were rising. He made huge profits.
He also expanded beyond housing. He bought a soccer team. He renamed it Guangzhou Evergrande. He spent millions on star players. The team won multiple championships.
He also started a film studio. He made movies. He also tried to build electric cars. He invested billions in a car company. None of these ventures made money. He kept borrowing.
He also became a philanthropist. He gave millions to poverty relief. He also donated to schools and hospitals. He was praised by the Chinese government.
He became the richest person in China in 2017. His net worth was over $40 billion.
Big Ideas and Achievements
Xu Jiayin's biggest idea was that debt could fuel growth. He borrowed to build. He built to sell. He sold to borrow more. It worked for a while.
His greatest achievement is the Evergrande real estate empire. At its peak, Evergrande had over 1,300 projects across China. It sold over $100 billion worth of homes in a single year.
Another huge achievement is the soccer team. Evergrande won the Asian Champions League twice. It was a source of national pride.
He also built a massive headquarters in Shenzhen. It is a shining glass tower. It is a symbol of his ambition.
He also made a lot of people rich. His employees and early investors made fortunes.
He also gave away billions. He was a major philanthropist.
Challenges and Difficult Times
Xu Jiayin faced many challenges. First, he grew up poor. He had to fight for everything.
Second, he started his real estate company at 38. He was late. He had to catch up.
Third, he borrowed too much. The Chinese government worried about debt. They imposed new rules. Evergrande could not borrow as easily.
Fourth, the housing market cooled. Prices stopped rising. Evergrande could not sell as many homes. It could not pay its debts.
Fifth, the company defaulted in 2021. It missed payments to bondholders. The stock price crashed. Xu's fortune evaporated. He is now under investigation.
Fun Facts About the Celebrity
Xu Jiayin loves to play soccer. He often played with his employees.
Another fun fact: He once bought a painting for $40 million. It was by a Chinese artist.
He is known for his loud ties. He wears bright colors.
He is a heavy smoker. He smokes several packs a day.
One more fact: He once said, "I never look back. I only look forward."
Why Is This Celebrity Important Today?
Xu Jiayin is important because his story is a warning. Debt can fuel growth. Too much debt can destroy a company. His rise and fall will be studied for years.
He is also important because he shaped the Chinese real estate market. His methods were copied by many developers. His collapse is affecting the whole economy.
His influence is seen in every Evergrande project. In every unsold apartment. That is Xu's legacy.
Parents can use his story to teach children about risk. Xu took huge risks. He won for a while. He lost in the end.
What Can Kids Learn from This Story?
Kids can learn important lessons from Xu Jiayin. First, be careful with debt. Borrowing can help you grow. Borrowing too much can destroy you. Be careful.
Second, grow slowly. Xu grew too fast. He could not control his empire. Slow and steady wins the race.
Third, diversify. Xu put all his eggs in real estate. He also tried cars and movies. That was good. But he did it too late.
Finally, have a backup plan. Xu had no plan for a downturn. The downturn came. He had no way out. Always have a backup plan.
Quick Quiz or Practice Time
Let us see what you learned from this Celebrity Story: Xu Jiayin. Answer these questions with a parent or by yourself.
What is the name of Xu Jiayin's company?
What city did Xu move to start his real estate business?
What sports team did Xu buy?
What happened to Evergrande in 2021?
What was Xu's first career before real estate?
Here is a fun activity. Draw a house. Then draw a pile of money next to it. The house costs money. Borrowing money to buy a house is a mortgage. Xu borrowed too much. You are learning about finance.
Another activity. Look up the Guangzhou Evergrande soccer team online with your parent. See their jerseys. They are famous. You are seeing Xu Jiayin's ambition.
Xu Jiayin was born in China. He grew up poor. He worked in a steel factory. He started a real estate company. He borrowed billions. He built Evergrande. He became the richest person in China. He bought a soccer team. He tried to make cars. He borrowed too much. His company collapsed. He lost everything. His story teaches us to be careful with debt. To grow slowly. To diversify. To have a backup plan. That is the real lesson of this celebrity story. Note: This story deals with financial crisis and debt. Please discuss with children in the context of responsible money management.