China Renaissance shares plunge after 17-month suspension, former chairman's detention (updated)

China Renaissance Holdings

09/09/2024 03:09

(Recasts, writes through)
       HONG KONG, Sept 9 (Reuters) - Shares of boutique
investment bank China Renaissance  1911.HK  fell as much as 72%
to a record low on Monday when they resumed trading 17 months
after being suspended during a probe involving its then-chairman
and CEO Bao Fan.
        Trading was suspended on April 3, 2023, due to a delay
in publishing its 2022 results after mainland Chinese
authorities requested Bao's cooperation in an investigation. 
    The star dealmaker, who founded China Renaissance in 2005,
has not been seen publicly since before the suspension. A
Chinese financial publication reported in May last year he was
detained by disciplinary and supervision officials. Authorities
have so far not provided any explanation for his absence.
    Bao is one of several high-profile executives in China's
finance industry who have gone missing in recent years with
little explanation amid a sweeping anti-corruption campaign led
by President Xi Jinping.
    China Renaissance, which appointed Xie Yi Jing to replace
Bao as chairman and CEO this year, published its long overdue
earnings results last week, allowing it to resume trading.
    The investment bank posted last week an attributable loss of
471.9 million yuan ($66.55 million) for 2023, and a loss of 73.8
million yuan for the six months ended June 30.

 (Reporting by Selena Li and Donny Kwok; Editing by Christian
Schmollinger and Jamie Freed)
 ((donny.kwok@thomsonreuters.com; +852 3462 7745;))