--- title: "Bao Fan returns after two and a half years of investigation into funding sources" type: "Topics" locale: "en" url: "https://longbridge.com/en/topics/32810934.md" description: "Introduction: From "disappearance" to "return," the two-and-a-half-year investigation and Bao Fan's regained freedom still serve as a warning bell in the capital markets. Huaxing Capital's Bao Fan has been released! This weekend, the most talked-about topic in the investment circle is Bao Fan's "regained freedom." Born into a diplomat family, a Wall Street investment banking elite, with a net worth of 7 billion making him a global billionaire, the "big spender" behind JD.com, Tencent, Meituan, and Didi... Any one of these would be enough to amaze the world, yet Bao Fan, the founder of Huaxing Capital, embodies all these accolades. Standing at the peak of his career..." datetime: "2025-08-11T09:34:09.000Z" locales: - [en](https://longbridge.com/en/topics/32810934.md) - [zh-CN](https://longbridge.com/zh-CN/topics/32810934.md) - [zh-HK](https://longbridge.com/zh-HK/topics/32810934.md) author: "[阿尔法工场](https://longbridge.com/en/profiles/5044766.md)" --- > Supported Languages: [简体中文](https://longbridge.com/zh-CN/topics/32810934.md) | [繁體中文](https://longbridge.com/zh-HK/topics/32810934.md) # Bao Fan returns after two and a half years of investigation into funding sources Introduction: From "disappearance" to "return," the two-and-a-half-year investigation and Bao Fan's regained freedom still serve as a wake-up call in the capital markets. Bao Fan of China Renaissance has been released! This weekend, the investment community has been buzzing about Bao Fan's "regained freedom." Born into a diplomat family, a Wall Street investment banking elite, with a net worth of 7 billion yuan ranking him among the global rich list, the "big spender" behind JD.com, Tencent, Meituan, and Didi... Any one of these would be enough to impress the world, but China Renaissance founder Bao Fan has all these accolades to his name. At the peak of his life, he was called the "King of Chinese Internet M&A"! At this point, Bao Fan's early life seems like the perfect setup for a "power fantasy protagonist," but since being taken away for investigation in February 2023, these accolades have dimmed. During the investigation, Bao Fan's personal wealth shrank significantly, and he stepped down from several key positions at China Renaissance, with his wife Xu Yanqing taking over. Time flew by, and on August 8, 2025, Caixin reported, citing multiple independent sources, that Bao Fan had "completed the investigation" and was "out." This was 894 days after China Renaissance's board confirmed Bao Fan was assisting with the investigation. **01 Investigated for Suspected Bribery, Entangled in Former President Cong Lin's Irregularities** In February 2023, China Renaissance announced that its founder Bao Fan was missing, and 10 days later, it disclosed that Bao Fan was assisting authorities with an investigation. Public information suggests the investigation was closely tied to irregularities in ship leasing operations by former China Renaissance president and Huaxing Securities chairman Cong Lin. Cong Lin had long worked in the Industrial and Commercial Bank of China (ICBC) system and led the business of ICBC Financial Leasing Co., Ltd. ("ICBC Leasing"). In 2017, China Renaissance received a $200 million loan from ICBC Leasing, which was repaid after its 2018 IPO. This transaction drew significant attention in the industry. What sparked even more discussion was that shortly after the loan was repaid, in 2020, Cong Lin stepped down from ICBC International Holdings Limited (ICBC's Hong Kong subsidiary) to become president of China Renaissance Holdings$CR HOLDINGS(01911.HK) and chairman of Huaxing Securities. During his tenure, Cong Lin led a massive expansion in ship financing and leasing operations. Since 2022, three senior executives from ICBC Leasing have been taken away for investigation, and Bao Fan also came under regulatory scrutiny in 2022. Media reports indicated that regulators had interviewed Huaxing Securities and took Cong Lin away for investigation in September 2022, with the case involving matters during his tenure at ICBC Leasing. On February 7, 2023, Cong Lin resigned from Huaxing Securities' board. The Science and Technology Innovation Board Daily previously reported that Cong Lin, while overseeing ICBC's leasing business, was involved in irregularities in ship leasing involving $20 million, with international implications. Authorities filed a case, and Cong Lin's family members were also taken away for investigation. The Cong Lin incident is a classic 'revolving door' case," and "revolving door corruption" is a key target of national crackdowns in the banking and corporate sectors. Also in February 2023, Bao Fan was detained to assist in the investigation, suspected of corporate bribery. According to media reports, because Bao Fan is a Hong Kong resident and China Renaissance operates multiple businesses in Hong Kong and overseas, the investigation involved multiple agencies, including the Central Commission for Discipline Inspection's International Cooperation Bureau. **02 LP Funding Sources Remain a Mystery, Bao Fan No Longer Involved in Daily Management** Although Bao Fan is the actual controller of China Renaissance, the LP (limited partner) network behind him once injected strong capital into the company. However, public information reveals almost no details about the sources of these LP funds. According to available information, China Renaissance attracted early investments from Sequoia Capital (Neil Shen), institutions under Richard Liu, and Chengwei Capital, among others. Some of these capital channels were closely tied to internet giants, with investments in major companies like Didi, Meituan, and JD.com, totaling tens of billions of dollars in M&A financing. However, regulators have not publicly disclosed further investigations or details regarding whether LP funding sources were compliant or involved improper benefits. Additionally, although Bao Fan has "returned" after completing the investigation, China Renaissance stated he will no longer participate in the group's daily management, with personal matters remaining private. **Image source: Bilibili** China Renaissance stated that the company is now led by an executive committee, with Xu Yanqing (his wife) and other new leaders driving a "second entrepreneurship." Currently, China Renaissance focuses on future sectors like M&A, AI, and embodied intelligence, completing multiple strategic investments totaling over 20 billion yuan. In fact, during Bao Fan's investigation, China Renaissance underwent a difficult "de-Bao Fan" process. In February 2024, Bao Fan resigned as executive director, board chairman, and CEO of China Renaissance; in March, he stepped down as a director of Huaxing Securities. In October 2024, Bao Fan's wife Xu Yanqing was appointed as board chair of China Renaissance, despite having no prior involvement in the business. The board stated Bao Fan's case would not adversely affect her role. Meanwhile, Wang Lixing became the new CEO, with the two leading China Renaissance's transformation. On the business front, affected by Bao Fan's case and market conditions, China Renaissance's performance declined. Overseas-listed Chinese stocks saw cooling IPO activity, and its investment banking business shrank significantly. Financial reports show China Renaissance's 2024 revenue was 777 million yuan, down 22.3% year-on-year, but adjusted net losses narrowed from 592 million yuan in 2023 to 300 million yuan, a 49.3% drop. This improvement was driven by a 17.2% increase in investment management revenue to 316 million yuan and a 16.8% rise in investment banking revenue to 224 million yuan. Investment management now accounts for 38% of total income, becoming the core revenue source. By end-2024, AUM stood at 32 billion yuan, down 12.9% year-on-year, but fund exits doubled to 3.2 billion yuan from 1.5 billion yuan in 2023. Five of 11 main funds had DPI (distributions to paid-in capital) exceeding 100%, with cumulative unrealized carried interest at 2.1 billion yuan (net carried interest: 600 million yuan), providing potential future performance support. To overcome challenges, China Renaissance is rebuilding its compliance system and stabilizing its team. Titan Media's "2025 H1 Pioneer Rankings" showed China Renaissance returning to the top of the FA rankings in H1 2025, signaling a recovery. **03 Former "Matchmaker of Capital," Personal Wealth Once Hit 7 Billion Yuan** Looking back at Bao Fan's career, his origins were extraordinary. Born into a high-profile diplomat family in Shanghai, the gifted Bao Fan entered Fudan University at 17 to study English literature, later earning a master's in business and economics from the Norwegian School of Management in June 1995. After graduation, Bao Fan joined Morgan Stanley, beginning his career. From 1993 to 2000, he worked at Morgan Stanley and Credit Suisse, where he deeply participated in and led key transactions like capital raising, syndicated loans, and M&A for multinationals. This seven-year Wall Street stint built his industry resources and network, cementing his identity as a top-tier investor. In 2000, Bao Fan returned to China, joining AsiaInfo Holdings as chief strategy officer, leading M&A and strategic partnerships. His four years there honed his strategic vision and execution for the domestic market. In 2005, armed with deep insights into China's capital markets, Bao Fan founded China Renaissance Group. Starting as a financial advisor for the new economy sector, China Renaissance grew alongside China's internet boom. Behind the financing and IPOs of JD.com, Tencent, Meituan, Jumei, Vipshop, iQiyi, 58.com, Ganji, Youku, Tudou, Didi, Kuaidi, Momo, Wandoujia, Tuniu, and CAR Inc. was China Renaissance's support. **Image source: China Renaissance** Bao Fan rose to fame in 2014 by facilitating Tencent's strategic investment in JD.com, a landmark deal that elevated China Renaissance's profile. 2015 was Bao Fan and China Renaissance's peak year, with blockbuster M&As like Didi-Kuaidi, Meituan-Dianping, 58-Ganji, and Ctrip-Qunar. China Renaissance data shows that in 2014 alone, it completed nearly 50 private financing and M&A deals, 7 IPOs, and 2 convertible bond deals, totaling over $11 billion. From 2006 to 2015, it closed 200+ transactions worth $20+ billion. These feats earned Bao Fan titles like "Matchmaker of Capital," "King of M&A," and "King of China's New Economy Financial Services." In 2015, he ranked 22nd on Bloomberg Markets' "50 Most Influential in Finance" list. China Renaissance continued expanding. In 2016, it secured a securities license, establishing Huaxing Securities, completing a financial services loop covering private financing, IPOs, refinancing, M&A, and debt financing. In 2018, China Renaissance Holdings listed on the Hong Kong Stock Exchange; in 2019, it launched wealth management; in 2022, it obtained a Singapore securities license. As of December 31, 2021, China Renaissance's AUM was ~49 billion yuan, with its New Economy Fund managing ~36.8 billion yuan across four USD and four RMB funds, primarily in healthcare, smart manufacturing, tech, digital health, new consumption, and enterprise services (90%+). 2021 net profit hit 1.624 billion yuan, with a three-year CAGR of 87.5%. In investment banking, H1 2021 saw China Renaissance rank 6th in Hong Kong stock underwriting and 3rd among Chinese firms, trailing only CICC and CITIC. Bao Fan also made the rich lists. The 2021 Hurun Global Rich List ranked him 2,865th with 7 billion yuan. However, market changes and his 2023 investigation caused China Renaissance's stock to plummet, shrinking his wealth. During Bao Fan's investigation, China Renaissance's stock swung wildly. On April 3, 2023, China Renaissance suspended trading at HK$7.27/share (market cap: HK$4.132 billion). On September 9, 2024, it resumed trading, plunging 72% to HK$1.98/share at one point. By midday, it was down 66.44%, with a market cap of HK$1.387 billion. As of August 8, 2025, news of Bao Fan's return lifted the stock 16.84% to HK$6.87/share (market cap: HK$3.939 billion). Bao Fan holds 277 million shares (48.39%), worth ~HK$1.9 billion. With Bao Fan back, the case's impact on China Renaissance is fading, but challenges remain. Whether the company can turn profitable in 2025 depends on the new management's strategy—and whether Bao Fan's "spiritual guidance" returns. ### Related Stocks - [MEITUAN-WR (83690.HK)](https://longbridge.com/en/quote/83690.HK.md) - [Meituan (MPNGY.US)](https://longbridge.com/en/quote/MPNGY.US.md) - [MEITUAN-W (03690.HK)](https://longbridge.com/en/quote/03690.HK.md) - [CR HOLDINGS (01911.HK)](https://longbridge.com/en/quote/01911.HK.md) - [DiDi Global Inc. (DIDIY.US)](https://longbridge.com/en/quote/DIDIY.US.md) - [JD.com, Inc. 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