Bao Fan, China's Top Dealmaker, Resurfaces After 2-Year Detention

In a surprising turn of events, Bao Fan, the former chairman and founder of China Renaissance Holdings, has been released from detention more than two years after he vanished from the public eye. Bao, a well-known dealmaker for some of China's top technology firms, was detained in February 2023 amid a broader anti-corruption crackdown on the financial sector under President Xi Jinping's administration.

The details of Bao's legal status and the reasons for his release remain unclear, but his reemergence marks a significant development in the high-profile case. China Renaissance, the investment bank Bao founded in 2005, has struggled in his absence, seeing a slew of departures and posting losses for three consecutive years. The firm has even received interest from potential buyers, including a Hong Kong-based financial group with a Middle East backer, as it seeks to navigate the challenges posed by Bao's prolonged detention.

Bao's fate underscores the risks faced by businesses in China as the government tightens its grip on the financial sector. Hundreds of executives and officials have been ensnared in the anti-corruption drive, which has also led to reduced pay and perks in the industry as part of Xi's push for "common prosperity." The recent case of a top Wells Fargo banker being blocked from leaving China as part of a criminal probe further highlights the uncertain environment for financial professionals in the country.