(Yicai Global) Dec. 16 -- Shares of Semiconductor Manufacturing International Corporation plunged following media reports that the co-chief executive at China’s top chipmaker has made an abrupt departure.

SMIC’s shares [SHA: 688981] fell as much as 9.8 percent in Shanghai before closing 5.5 percent lower today at CNY55.20 (USD8.46) each, while its Hong-Kong listed stock [HKG: 0981] lost 4.9 percent to finish at HKD20.20 (USD2.61), after earlier sliding as much as 9.6 percent.

Liang Mengsong, the man often credited with engineering SMIC’s rise, unexpectedly quit at a recent board meeting, per media reports that an industry insider confirmed to Yicai Global. He is said to have quit at a meeting where Jiang Shangyi, a former independent non-executive director at SMIC, was named its new deputy chairman.

The Shanghai-based company, which has been among the targets of US government bans and sanctions against Chinese tech companies in recent years, has yet to respond to a request for comment.

Liang joined SMIC as executive director and co-CEO in October 2017.

Jiang left the company one and a half years ago, jumping ship to Wuhan Hongxin Semiconductor Manufacturing as CEO, a position from which he resigned in June. He first joined SMIC as an independent director in December 2016.

His new tenure will extend to SMIC’s annual general meeting next year, the firm said yesterday, adding that Jiang will be paid USD670,000 for his services and receive other incentives. Liang abstained in the vote to appoint Jiang, without giving any reason, per the announcement.

The 74-year-old Jiang has worked in the microprocessor field for 45 years and made great contributions to the development of Taiwan Semiconductor Manufacturing Company. As TSMC’s co-chief operating officer, he took part in several technology development projects and greatly contributed to the firm’s shift from a tech follower to a tech leader.

Editors: Tang Shihua, Ben Armour