Recaps

Zhao Chen arranged for Henglong’s core executives to earn forgiveness of their share-purchase loans by staying with the company for five years. He then discussed Friday’s shareholders meeting and the proposed board re-election, including whether Shen Jue would seek a seat.

• Zhao Chen offered Liu Mingyu, Chen Qiming, and Song Zhongping annual loan forgiveness for five years of service, leaving their shares theirs at the end of the term.
• Zhang Qingxue explained the legal and tax terms needed for the loan-forgiveness agreement, and Zhao Chen asked her to draft it before the next day.
• Zhao Chen told Liu Mingyu to publicly announce that Henglong’s core executives were committed to the company for five years.
• Chen Xi and Zhang Qingxue reported that Friday’s shareholders meeting would vote on the Whitewash Waiver and an early re-election of the Board of Directors.
• Zhang Qingxue proposed a board lineup, and Zhao Chen pointed out that Shen Jue’s decision to retain thirty million shares suggested she might nominate herself for a director seat.
• Zhao Chen rejected Zhiyi as a board candidate because she was a student and her identity was too sensitive, then asked Zhang Qingxue to consider Ms. Su.

Zhao Chen settled Henglong’s new board nominations and visited Shen Zhiyi, explaining the short squeeze’s proceeds and asking her to sell her shares to the shorts. Their dinner was interrupted when a woman recognized him at the hotpot restaurant.

• Zhao Chen named Chen Xi and Zhang Qingxue to Henglong’s new Board of Directors, while Su Wantang declined a seat.
• Zhang Qingxue agreed to draft the official nomination list, and Zhao Chen left for Zhengfa University to see Shen Zhiyi.
• Zhao Chen told Shen Zhiyi the negotiated closeout price was fifteen dollars and asked her to sell her ten million shares to the shorts.
• Zhao Chen explained that the sale proceeds would repay the borrowed Two Hundred Million Hong Kong Dollar, with the remaining profits divided among him, Shen Zhiyi, and Su Wantang.
• Zhao Chen and Shen Zhiyi shared dinner at Boiling Memories Hotpot and agreed he would visit her mother after the busy stretch.
• A woman recognized Zhao Chen while he was dining with Shen Zhiyi.

Zhao Chen, Shen Zhiyi, Shen Jue, and Professor Song Huayao shared a hotpot meal and discussed investments, real estate, and the short-selling battle. Shen Jue asked Zhao Chen to meet her the next afternoon to discuss something, leaving the subject unstated.

• Zhao Chen invited Shen Jue and her friend, Professor Song Huayao, to join him and Shen Zhiyi for hotpot.
• Song Huayao praised Zhao Chen’s earlier predictions about real estate and Bitcoin, while Shen Jue revealed she had profited from buying Bitcoin and Henglong shares.
• Zhao Chen predicted that third- and fourth-tier cities would decline as people and resources concentrated in major urban clusters.
• Zhao Chen credited Shen Zhiyi and Su Wantang with buying twenty million shares to help hold Henglong’s share price during the short-selling attack, and Shen Zhiyi felt included in the conversation.
• After dinner, Shen Jue asked Zhao Chen to meet her the next afternoon, and he agreed.

Zhao Chen reassured Shen Zhiyi about her parents’ doubts and promised to remain faithful, then returned to Henglong and ended the team’s surveillance of Lin Wanqing. He left the chapter by asking Chen Xi to spread a rumor that Henglong planned to sell its property management subsidiary.

• Zhao Chen comforted Shen Zhiyi at the hotel, telling her that he valued her trust and would keep his promise.
• Shen Zhiyi told Zhao Chen that her parents were satisfied with him but worried she might not be able to handle being wronged; she eventually said she believed him.
• Zhao Chen and Shen Zhiyi talked late into the night, and she fell asleep at two in the morning.
• At Henglong, Zhao Chen told Su Wantang, Chen Xi, and Zhang Qingxue to stop monitoring Lin Wanqing because her trust account was empty and she was no longer a threat.
• Zhao Chen instructed the team to handle the 600 million in Equity-like Debt through normal procedures.
• Zhao Chen asked Chen Xi to spread a rumor that Henglong intended to sell its subsidiary property management company.

Zhao Chen convinced Henglong's executives to sell Henglong Property while it was still valuable, hoping to prepare the company for a downturn in real estate. He then met Shen Jue, who asked to join Henglong's Board of Directors, and told her a seat had already been reserved for her.

• Zhao Chen explained that rising vacancies and labor costs could make Henglong Property a burden, so he ordered Chen Xi to seek buyers at a price of at least 2 billion.
• Zhao Chen assigned Zhang Qingxue to prepare the legal framework for the sale and asked Su Wantang to arrange meetings with interested institutions.
• Zhao Chen told Su Wantang he wanted to sell the property management company at its peak to help Henglong survive the coming real estate downturn.
• Zhao Chen met Shen Jue at the Cloud Restaurant, where she said she wanted to join Henglong's Board of Directors.
• Zhao Chen said he had anticipated Shen Jue's request and told her that the Board had reserved a seat for her.

Zhao Chen secured Shen Jue’s support as an ally and selected Xu Yong as an independent director candidate ahead of Henglong’s shareholders’ meeting. At home, Su Wantang comforted him as he rested before the decisive vote and board restructuring the next day.

• Zhao Chen asked Shen Jue to cooperate with him on separate Independent Shareholder votes, and she agreed to become his ally.
• Shen Jue recommended Xu Yong as a financially qualified independent director, and Zhao Chen told Chen Xi to stop searching for candidates.
• Zhao Chen returned home, where Su Wantang served him cordyceps flower chicken soup and massaged his temples as he rested.
• Zhao Chen told Su Wantang that the Whitewash Waiver and board restructuring votes could still go wrong, though he expected them to pass.
• Su Wantang reassured Zhao Chen that he had already won, and he fell asleep with his head resting on her lap before the shareholders’ meeting.

At Henglong Group’s special shareholders meeting, Chen Qiming reported that Zhao Chen had exposed and begun resolving the company’s hidden debts while improving its financial position. Zhao Chen was invited to speak next, as Shen Zhiyi watched him from the back of the hall.

• Liu Mingyu opened Henglong Group’s Second Special Shareholders Meeting of 2017 and outlined its agenda.
• Chen Qiming reported that Henglong had uncovered 3 billion in Off-Balance Sheet Liabilities and resolved 1 billion of them.
• Chen Qiming described the company’s profits, stock issuance, debt repayment, and reduced debt ratio under Zhao Chen’s leadership.
• Shen Jue explained that revealing the hidden liabilities could remove uncertainty about Henglong’s valuation.
• Shareholders applauded Chen Qiming’s report, while Shen Zhiyi watched Zhao Chen with red eyes.
• Liu Mingyu invited Zhao Chen to speak, and Zhao Chen walked to the podium.

Zhao Chen secured shareholder approval to take over Zhao Jianguo’s pledged shares and established Henglong’s new board. After the meeting, the company monitored public reaction as Zhao Chen considered how Henglong’s disclosure of its off-balance-sheet liabilities was affecting opinion.

• Zhao Chen promised greater financial transparency and a ban on related-party transactions, then asked shareholders to approve his takeover of Zhao Jianguo’s pledged shares and their debt obligations.
• Independent shareholders approved the Whitewash Waiver motion by 97%, and all nine nominees, including Zhao Chen and Shen Jue, won approval for the new Board of Directors.
• Shen Zhiyi recognized Zhao Chen at the meeting and applauded after the vote, while Zhao Chen returned to the hall and watched the shareholders celebrate.
• Chen Xi, Zhang Qingxue, and Zhao Chen reviewed public reaction, including trending topics about Zhao Chen and debate over Henglong’s disclosed liabilities.
• Zhao Chen dismissed defensive comments from real estate companies and finance influencers, while Chen Xi assessed the favorable response to his public image and the mixed reaction among ordinary shareholders.

After Henglong’s short squeeze ended, the market repriced its shares above net asset value, and Zhao Chen began preparing the company’s next moves. He ordered a new board meeting, a pig-farming investment plan, and a complete fixed-asset inventory, hinting that the property management company was only the first step in a larger strategy.

• Chen Xi reported that the negotiated closeout had delivered all 100 million shares and that Henglong’s price rose above its 11.4-yuan net asset value as investors held on.
• A fund manager saw Henglong’s shares climb to 11.68 on shrinking trading volume and concluded that the company had survived the short squeeze.
• Zhao Chen told Liu Mingyu to convene the new Board of Directors the following Monday and set an agenda covering the chairmanship, senior management appointments, and company strategy.
• Zhao Chen tasked Chen Qiming and Chen Xi with planning equity investments in pig-farming enterprises and gave Chen Qiming a week to inventory Henglong’s fixed assets.
• Zhao Chen told Zhang Qingxue that the asset inventory was not only preparation for selling the property company, calling it the first card in a larger plan.

Zhao Chen confirmed Henglong would sell its property management company and prepared to defend the decision at the board meeting. Shen Jue supported him in principle and began sounding out potential buyers, while Zhao Chen ordered data to show why selling now made sense.

• Financial circles circulated news that Henglong planned to sell its property management company for at least 2 billion, and Zhao Chen confirmed it to Shen Jue.
• Shen Jue said she supported Zhao Chen in principle, agreed to seek interested buyers, and judged the starting price attractive based on the company's earnings.
• Zhao Chen asked Chen Xi to prepare market forecasts and comparable valuations for the directors before the board meeting.
• Zhao Chen explained that rising vacancies and falling rents could reduce future property management valuations, making a sale now preferable.
• Shen Jue contacted President Li about buying Henglong Property, and he said he would consider the offer.

At Henglong Group’s first board meeting, Zhao Chen won unanimous approval to sell the property management company after arguing that rising office vacancies would erode its value. He then raised another matter for discussion without a vote, leaving the directors waiting to hear what it was.

• Liu Mingyu introduced the new board members, and all nine directors unanimously reappointed Zhao Chen as Chairman.
• Zhao Chen outlined plans to resolve off-balance-sheet liabilities, optimize assets, and focus Henglong on real estate.
• Xu Yong and Sun Zhengping questioned selling the profitable property management company, so Zhao Chen presented data on office supply, vacancy rates, and valuation risks.
• Zhao Chen said the company could sell the property management business for more than two billion and use the proceeds to reduce debt, build cash reserves, and wait for opportunities.
• All nine directors voted in favor of selling the property management company.
• Zhao Chen introduced a further matter for discussion, saying it did not require a vote.

Zhao Chen presented the board with a study arguing that rising costs and small farmers exiting the industry could drive a pork-price upswing, then asked them to consider ways Henglong could invest in pig farming. He privately settled on making a strategic investment, and the chapter ended with Chen Xi rushing back after receiving good news.

• Zhao Chen presented research on hog farming and predicted a clear upward phase in the Pig Cycle over the next two to three years.
• Zhao Chen outlined building a breeding farm, buying publicly traded shares, and strategically investing in an unlisted company, and asked the directors to prepare their views for the next board meeting.
• Xu Yong praised the report, while Sun Zhengping and Song Zhongping agreed to review the proposal.
• Zhao Chen told Chen Xi, Zhang Qingxue, and Su Wantang that he favored investing in an existing pig-farming company with the right technology and team.
• Chen Xi argued that industry consolidation could bring growth profits as well as cyclical gains, and Zhao Chen encouraged her to raise the point at the next meeting.
• Chen Xi received a phone call, then rushed back into Zhao Chen's office announcing that she had good news.

Zhao Chen prepared to sell Henglong Property by inviting interested firms to review its finances and submit preliminary offers, while Vanke Property’s interest prompted Shen Jue to pressure another potential buyer. As Zhao Chen discussed the sale’s financial logic with Su Wantang, a representative from Jiahe arrived insisting on meeting him.

• Chen Xi told Zhao Chen that Vanke Property wanted a face-to-face meeting, and he instructed her to discuss its intentions before discussing price.
• Zhao Chen asked Chen Xi to prepare financial data and send it to serious prospective buyers so they could submit preliminary offers.
• Chen Xi told Shen Jue that Vanke Property had entered the bidding, and Shen Jue urged President Li to decide quickly about the project.
• Su Wantang asked Zhao Chen about Henglong’s cash position and the reasoning behind selling Henglong Property, and he said the sale could improve cash flow and reduce debt.
• Chen Xi rushed in to tell Zhao Chen that someone from Jiahe asset management was downstairs and insisting on seeing him.

Zhao Chen met with Jiahe Assets partner Zhou Huai, who made a strong case for buying Henglong Property and showed particular interest in its Jiangbei complex. After Zhou left, Zhao Chen ordered bidders to submit final offers within three days and invited Shen Jue to meet.

• Zhao Chen allowed Zhou Huai of Jiahe Assets to meet with him and Su Wantang.
• Zhou Huai explained Jiahe’s experience running Guanqianli and said it wanted Henglong Property to expand into the southwest.
• Chen Qiming told Zhou Huai that Henglong Property had about 500 million in book assets and 300 million in liabilities, while its actual value was much higher.
• Zhou Huai said Jiahe sincerely wanted to buy Henglong Property and viewed it as a long-term partnership.
• Zhao Chen asked Chen Xi to give all bidders three days to submit final offers, then called Shen Jue and invited her to meet.

Zhao Chen and Shen Jue agreed that Henglong Property was reasonably valued at 2.2 to 2.5 billion, with Shen offering to investigate Jiahe and Zhou Huai. Back at Henglong, Zhao Chen reviewed the company’s assets and liabilities with Chen Xi, Zhang Qingxue, and Su Wantang, then set criteria for screening potential buyers.

• Zhao Chen told Shen Jue about Zhou Huai and Jiahe Assets’ interest in buying Henglong Property.
• Shen Jue valued the company at 2.2 to 2.5 billion and agreed that the highest bidder with fair terms should win.
• Shen Jue offered to investigate Zhou Huai and report back within three days.
• Chen Xi and Zhang Qingxue reported that Henglong Property had assets worth 1.1 to 1.3 billion, liabilities of 300 million, and nine interested buyers.
• Zhao Chen set a 2.2-billion minimum price, prioritized cash offers, and assigned Zhang Qingxue to investigate buyers’ backgrounds and funding sources.

Henglong’s rushed property management sale drew intense market debate, and the final bids reached as high as 2.6 billion yuan from Jiahe Assets. After Shen Jue revealed Jiahe’s funding came from Lu Shen, an old acquaintance of Zhao Chen, Zhao Chen was left stunned by the name.

• Henglong’s nine-day sale timeline triggered industry controversy, while the company stayed silent about its reasons for selling.
• Chen Xi told Zhao Chen that Vanke had withdrawn and that four bidders had advanced, with Jiahe Assets leading at 2.5 billion yuan.
• The four final bids came in, and Jiahe Assets offered 2.6 billion yuan, the highest price.
• Investors debated whether Zhao Chen was selling Henglong Property at the peak as concern grew over commercial real estate valuations.
• Zhao Chen told Chen Xi and Zhang Qingxue that public scrutiny would keep bidders from manipulating the process and that the highest bidder would win.
• Shen Jue told Zhao Chen that Jiahe’s funding came from Lu Shen, a Zhengfa University alumnus and vice president of Blackstone China, and Zhao Chen fell silent as he recognized the name.

Zhao Chen remembered the night he first intervened when Lu Shen pressured Shen Zhiyi, then resolved to protect her. In the present, he learned Lu Shen had returned with 2.6 billion and ordered the Jiahe bid to proceed as planned before an afternoon board meeting.

• At a freshman gala three years earlier, Zhao Chen stepped between Lu Shen and Shen Zhiyi when Lu Shen pressed her for contact information and an internship conversation.
• Lu Shen recognized Zhao Chen as Zhao Jianguo’s son, mocked him as a spoiled rich heir, and left; Shen Zhiyi followed Zhao Chen outside and introduced herself.
• After returning to the present, Zhao Chen set down his phone while Chen Xi and Zhang Qingxue watched him with concern.
• Zhao Chen told Chen Xi to proceed as planned and hold the board meeting that afternoon, with the Jiahe bid discussed as usual.
• Zhao Chen noted that Lu Shen had returned with 2.6 billion and said he would see who was having a harder time.

Henglong’s board unanimously approved Jiahe Assets’ 2.6 billion bid for the property, with a deposit and due diligence as the next steps. Zhao Chen then opened a discussion about investing in hog breeding, but the directors remained divided over building farms themselves or investing in an established operator.

• Sun Zhengping, Zhang Qingxue, Xu Yong, and others weighed Jiahe’s high offer against its opaque ownership, while Shen Jue initially backed Ping An because its background and funding were clearer.
• Zhao Chen called a vote, and all eight directors, including Shen Jue, approved Jiahe Assets’ 2.6 billion bid.
• Zhao Chen instructed Chen Xi to demand a 100 million deposit within three days and assigned Zhang Qingxue to coordinate due diligence while restricting copies of core financial data.
• Zhao Chen introduced a report on investment opportunities in hog breeding, and Chen Xi presented data suggesting that declining supply could lead to higher pork prices.
• Song Zhongping advocated building Henglong’s own pig farms, while Xu Yong favored strategic investment in an experienced producer; Chen Xi identified Henan’s Zhongke Animal Husbandry as a potential partner.

Shen Jue argued that Zhao Chen’s company should invest only in livestock businesses with low breeding costs and healthy finances, leading Zhao Chen to order further screening. As the meeting ended, Shen Jue left without explaining her lingering look, and the story hinted that Lu Shen would soon appear before Zhao Chen.

• Shen Jue explained that livestock investments depended on controlling breeding and financing costs, using examples from pig farming and Australian beef production.
• Chen Xi reported that Zhongke Animal Husbandry had a debt ratio of about 65% and financing costs above 10%, so it did not meet Shen Jue’s standards.
• Shen Jue advised Zhao Chen to avoid investing recklessly, and Zhao Chen instructed Chen Xi to find at least three candidates with sound finances and cost control before the next board meeting.
• Shen Jue paused at the door as if she wanted to ask Zhao Chen something, but she shook her head and left.
• Zhao Chen told Chen Xi to listen more to Shen Jue’s views on pig farming and to keep searching for suitable companies.
• As the sun set, the narration noted that Lu Shen would soon appear before Zhao Chen.

Zhao Chen explained to Shen Zhiyi why he had sold Henglong’s property management business to Jiahe Assets despite Lu Shen’s involvement. The next morning, Jiahe’s 100 million deposit arrived, leaving Zhao Chen to wonder whether Lu Shen was making a business move or showing his strength.

• Zhao Chen told Shen Zhiyi that Jiahe Assets, backed by Lu Shen, had offered 2.6 billion for Henglong’s property management business, compared with Ping An’s 2.52 billion.
• Zhao Chen explained that he believed the business was overpriced and that accepting Jiahe’s offer was a bet against its future prospects, easing Shen Zhiyi’s worries about Lu Shen.
• Zhao Chen told Shen Zhiyi that he would not let his personal grudge against Lu Shen override the shareholders’ interests, and Shen Zhiyi praised his strength.
• After Shen Zhiyi kissed Zhao Chen outside her dorm, they went to a hotel together.
• The next morning, Zhao Chen told Shen Zhiyi that Jiahe’s 100 million deposit had arrived and wondered whether Lu Shen’s offer was a show of force.

Zhao Chen grew increasingly suspicious when Jiahe rushed through a shallow due diligence process before signing the 2.6 billion acquisition agreement. At the reception, several unfamiliar people entered, leaving Zhao Chen watching to see what Zhou Huai was really planning.

• Zhou Huai urged Zhao Chen to speed up due diligence and avoid examining minor details closely.
• Chen Xi reported that Jiahe's team asked superficial questions and accepted the information without probing.
• Jiahe proposed ending due diligence early, and Zhao Chen told Chen Xi to let the process continue while watching their actions.
• After a week, Jiahe completed due diligence without raising objections, and Zhao Chen agreed to attend the signing and reception.
• Zhao Chen, Chen Xi, and Zhang Qingxue watched Zhou Huai mingle at the reception until several people walked in.

At a reception, Zhao Chen realized Lin Wanqing had helped Jiahe acquire Henglong Property by revealing its true value and overlooked details. On the terrace, Lin Wanqing disclosed she had put 100 million of her working capital into her bet on Lu Shen, leaving her companies’ future uncertain.

• Lu Shen greeted Zhao Chen at the reception and said Jiahe would manage Henglong Property after the acquisition.
• Zhao Chen spotted Lin Wanqing among Lu Shen’s guests and realized she had guided Jiahe’s acquisition of Henglong Property.
• Zhao Chen went to the terrace, where Lin Wanqing joined him and said she had invested 100 million of her working capital.
• Lin Wanqing said she needed to win back the 250 million Zhao Chen had cost her, and Zhao Chen warned her that she was gambling too much.
• Zhao Chen left, telling Lin Wanqing he hoped Lu Shen was worth her bet, while she remained alone with the risk to her company unresolved.

After Lin Wanqing revealed she had put her remaining working capital into Jiahe’s acquisition, Zhao Chen ordered an investigation into her connection with Lu Shen while keeping the acquisition on schedule. Chen Xi’s findings suggested that Blackstone funds had been routed into Lin Wanqing’s companies, leaving Zhao Chen to consider whether the money was collateral for a larger move.

• At the reception, Lin Wanqing told Zhao Chen that one hundred million of Jiahe’s 2.6 billion acquisition funds came from her remaining working capital.
• Zhao Chen ordered Chen Xi to investigate Lin Wanqing and told Zhang Qingxue to keep Jiahe’s acquisition moving as planned.
• At home, Zhao Chen told Su Wantang about Lin Wanqing’s investment, and she quietly held his hand as he explained the investigation.
• The next morning, Chen Xi reported that funds traced through three layers of structure back to Blackstone had been injected into Lin Wanqing’s core company.
• Chen Xi and Zhang Qingxue suspected Lu Shen had arranged the investment outside Blackstone’s normal approval process, and Chen Xi said Lin Wanqing’s hundred million seemed more like collateral.

Zhao Chen suspected Lin Wanqing had wagered 100 million to secure Lu Shen’s backing for a takeover of Henglong Property, but he remained confident that falling property values would prove him right. After news broke that Henglong Property had been sold to Jiahe Assets for 2.6 billion, Henglong’s stock surged as investors calculated that the sale had strengthened the company’s balance sheet and left it undervalued.

• Chen Xi and Zhang Qingxue reasoned that Lin Wanqing had invested 100 million to prove her commitment to Lu Shen and obtain Blackstone funding for her company.
• Zhao Chen told Chen Xi to investigate how Lin Wanqing and Lu Shen had met, then said he would let Lin Wanqing make her bet because he expected property assets to fall.
• News leaked that Jiahe Assets had bought Henglong Property for 2.6 billion, prompting heated debate among investors.
• Henglong shares rose from 12.37 Hong Kong Dollars at opening to 16.8 Hong Kong Dollars by the midday close.
• A Snowball user calculated that the sale had increased Henglong’s net assets to 9.8 billion, lowered its debt ratio, and left its market value below its net assets.
• Shareholders praised Zhao Chen’s decision, while a few dissenting opinions emerged.

After Henglong’s property sale sparked a fierce online debate over whether Zhao Chen had sold too cheaply, Zhao Chen dismissed the dispute and prepared to advance his next plans. He told Chen Xi to push the pig farming project forward and have Aunt Zhang expedite the transfer of his father’s shares.

• Henglong’s share price hit a record high, but rumors that former Finance Director Lin Wanqing had joined Jiahe’s acquisition prompted investors to question whether Zhao Chen had undervalued Henglong Property.
• A viral Snowball post argued that Zhao Chen had sold Henglong’s cash-generating assets too cheaply and left the company without a growth story.
• A top comment defended Zhao Chen by citing his financial and share-price results and arguing that Jiahe’s 2.6 billion payment mattered more than speculative valuations.
• Chen Xi reported that public opinion was divided, while Zhang Qingxue suggested Jiahe may have leaked Lin Wanqing’s involvement to make the acquisition look like a bargain.
• Zhao Chen said the argument was drawing useful attention and instructed Chen Xi to advance the pig farming project and have Aunt Zhang finalize the transfer of his father’s shares.