China Renaissance Delays Results, Suspends Trading Amid Founder's Disappearance
The Hong Kong-based investment bank China Renaissance has suspended trading of its shares and delayed the release of its annual results as it remains unable to get in touch with its founder, 52-year-old Bao Fan.
Bao started the boutique investment bank in 2005 and has been unreachable since February. The company's shares have plummeted since his disappearance, dropping by as much as 50%. In late February, China Renaissance reported that Bao was "cooperating in an investigation" being carried out by authorities in the country, but gave no further details.
Chinese media have speculated that Bao might be assisting in an investigation related to a former executive at China Renaissance. The company's auditors were unable to complete their work or sign off on their report due to Bao's absence, and the board was also unable to estimate when it would be able to approve its audited results for 2022.
Trading in the company's shares was suspended from Monday as a result of the delay. Bao is known as a veteran dealmaker who has worked closely with top technology companies in China, including helping broker the merger between Meituan and Dianping in 2015.
His team has also invested in US-listed Chinese electric vehicle makers Nio (NIO) and Li Auto, and helped Chinese internet giants Baidu (BIDU) and JD.com (JD) complete their secondary listings in Hong Kong.
The disappearance of a prominent figure like Bao Fan has raised concerns about the stability of China's financial system. The country's top anti-graft watchdog is currently investigating Liu Liange, former party secretary and chairman of Bank of China, who is suspected of "serious violations of discipline and law".
The Hong Kong-based investment bank China Renaissance has suspended trading of its shares and delayed the release of its annual results as it remains unable to get in touch with its founder, 52-year-old Bao Fan.
Bao started the boutique investment bank in 2005 and has been unreachable since February. The company's shares have plummeted since his disappearance, dropping by as much as 50%. In late February, China Renaissance reported that Bao was "cooperating in an investigation" being carried out by authorities in the country, but gave no further details.
Chinese media have speculated that Bao might be assisting in an investigation related to a former executive at China Renaissance. The company's auditors were unable to complete their work or sign off on their report due to Bao's absence, and the board was also unable to estimate when it would be able to approve its audited results for 2022.
Trading in the company's shares was suspended from Monday as a result of the delay. Bao is known as a veteran dealmaker who has worked closely with top technology companies in China, including helping broker the merger between Meituan and Dianping in 2015.
His team has also invested in US-listed Chinese electric vehicle makers Nio (NIO) and Li Auto, and helped Chinese internet giants Baidu (BIDU) and JD.com (JD) complete their secondary listings in Hong Kong.
The disappearance of a prominent figure like Bao Fan has raised concerns about the stability of China's financial system. The country's top anti-graft watchdog is currently investigating Liu Liange, former party secretary and chairman of Bank of China, who is suspected of "serious violations of discipline and law".
Suspicious timing here... 50% drop in shares after Bao goes dark? That's a lot to swallow. Either someone's trying to spin this or there's actually something fishy going on. I mean, Bao was a dealmaker extraordinaire, but did he overstep his bounds and end up in hot water? And what's with all these connections to top tech companies? Is this some kind of coordinated effort to take down the founder? 
The investigation into Liu Liange is already throwing people off, so let's not jump to conclusions just yet...
this is wild stuff... so some chinese businessman just disappears and his company's stock price plummets like 50% 
its not even a rumor that he's in trouble or something. doesnt sound good for china's financial stability at all... hope whoever he is gets found safe 
. The shares have been tanking, and it's hard to trust that everything is okay behind the scenes 
. As a visual thinker, I drew a simple mind map to try and understand the situation:
. Anyone have any insight on what's going on with Bao Fan and China Renaissance? 
so china renaissance is all like oh my founder bao fan is investigating something but we cant get in touch with him lol & now theyre suspending trades & delaying results 
hope everyone is safe tho 
. It's not like this is some isolated incident - it's a sign of deeper problems.
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, but... have you noticed that whenever something like this happens, the authorities are always like "cooperating in an investigation"? Cooperating? What does that even mean? 
. and now they're delaying results, suspended trading... it's like a game of russian roulette 
. what happens to the investors? the companies he invested in? this is not just about china renaissance, it's about the entire financial system 
.
his disappearance is super mysterious and it's like he just vanished into thin air... 50% drop in shares is crazy!!! i'm hoping he gets found safe and sound, but meanwhile let's all send our positive vibes to china's financial system 
. chinese authorities are investigating someone else too, but I'm not sure how that's related... anyway, it's like china has no transparency whatsoever when it comes to corporate governance or something. 
. Like, what even happens when someone like that disappears without a word? Shares plummeting 50% is wild, and I'm not surprised the auditors can't do their thing. And now they're suspending trading... great, just what we need, more uncertainty in the markets 
? It's just a mess, and I'm left wondering what really went down with Bao Fan...