Two real estate moguls have chosen vastly different approaches to weather the industry downturn.

The storm began quietly but gained momentum rapidly.

On the evening of August 18, an announcement shook the capital markets - 71-year-old Wang Yihui, chairman of Vantone Neo Development Group Co.,Ltd., was detained by Beijing police and is cooperating with an investigation.

Even before the news broke, Vantone Neo Development (600246.SH) shares had begun declining. From 11.94 yuan per share on Friday, August 15, the stock fell to 8.85 yuan per share on August 19. Over three trading days, market capitalization evaporated by over 5.8 billion yuan, dropping to 16.73 billion yuan.

The company immediately activated emergency protocols, with the board convening an urgent meeting to elect CEO Qian Jinzhou as acting chairman. Vantone Neo Development emphasized that board operations remain normal, production and business operations continue normally, and the incident will not significantly impact daily operations.

**Chairman Suddenly Detained, Vantone Neo Development Urgently Changes Leadership**

According to Vantone Neo Development's announcement, family members revealed that Wang Yihui's assistance with the investigation is unrelated to the company's daily operations, though specific details of the case remain unclear.

Notably, as early as 2020, Wu Chen, the well-known Beijing real estate developer behind the "Hexiang Group," had filed a report with Beijing police regarding "Jiahua Holdings' suspected crimes of high-interest lending and false litigation." In February 2021, Beijing police determined that Jiahua Holdings' suspected high-interest lending case met filing standards and formally opened an investigation.

Wu Chen had also told media that Wang Yihui's acquisition of over 3 billion yuan to purchase Feng Lun's controlling stake in Vantone Neo Development was problematic, with principal and interest totaling over 1 billion yuan in debt disputes being the cause of the rift between Wu Chen and Wang Yihui.

However, as Wu Chen later became seriously ill with myasthenia gravis, the matter remained unresolved.

Wang Yihui's detention crisis occurs at a critical moment in Vantone Neo Development's transformation.

In recent years, this veteran real estate company has been mired in performance difficulties. In 2024, the company posted a net loss of 457 million yuan attributable to shareholders.

Entering 2025, Vantone Neo Development expects to continue losing 22-33 million yuan in the first half. Despite attempts to transform into technology, 99% of company revenue still relies on traditional real estate business.

Just before Wang Yihui's detention, on August 11, Vantone Neo Development announced a market-shocking cross-industry transformation plan: spending 854 million yuan to acquire chip company Shidu Technology. However, both buyer and seller are loss-making enterprises.

The acquisition target, Shidu Technology, focuses on PCIe high-speed switching chips for AI computing applications, but its operational condition is concerning - achieving only 16.28 million yuan in revenue in the first half of this year while posting a net loss of 35.98 million yuan.

This move immediately drew regulatory attention. The Shanghai Stock Exchange directly questioned in an inquiry letter: What is the rationale for cross-industry acquisition amid continued losses? Are payment arrangements reasonable? Is there insider trading?

Vantone Neo Development responded that the transaction is a key step in the company's strategic shift from real estate to digital technology, an important measure for "transformation and upgrading toward new quality productive forces." However, the market remains unconvinced.

At this critical transformation moment, the detention of Vantone Neo Development chairman Wang Yihui for investigation adds another layer of uncertainty to the transaction.

**Vantone Neo Development's "Twin Leaders" Follow Completely Different Life Trajectories**

Looking back at Vantone Neo Development's history, Wang Yihui and Feng Lun's paths were once deeply intertwined. In 1991, Feng Lun, along with Pan Shiyi, Wang Gonquan, Liu Jun, Wang Qifu, Yi Xiaodi and others known as the "Vantone Six Gentlemen," co-founded the Vantone brand, initially focusing on real estate development and striking gold during Hainan's real estate boom. By 1996, the "six gentlemen" amicably parted ways due to different philosophies, with Feng Lun taking the "Vantone" brand to Beijing to develop real estate business.

Feng Lun, who was doing well in the capital, began planning Vantone's backdoor listing, targeting Pioneer Shares founded by Wang Yihui in 1997. In 2002, Feng Lun brought Vantone Xinghe into Pioneer Shares, gradually becoming the largest shareholder through equity transfers and split-share reform, completing the name changes from "Pioneer Shares-Vantone Pioneer-Vantone Real Estate." By 2007, Vantone successfully completed its backdoor listing through Pioneer Shares, with stock code 600246.SH. During this period, Wang Yihui's presence in the company gradually faded.

After listing, Feng Lun proposed the "American Model" (light asset operations), but the company's performance declined continuously from 2013, with revenue falling 52% year-on-year in the first half of 2014 and deteriorating cash flow.

Feng Lun sought to introduce new investors to help Vantone, and Wang Yihui's Jiahua Holdings seized this opportunity to return, investing 370 million yuan to acquire 24.79% of Vantone Holdings.

Subsequently, "Jiahua Group" personnel took control of the board, and former Feng Lun associates departed. In 2014, Jiang Hongyi (Jiahua representative) was elected chairman, marking Wang Yihui's actual control of the company.

Meanwhile, Feng Lun began exploring other possibilities. In late 2015, Feng Lun launched his own WeChat public account: Feng Lun Fengmaniu. Two months later, a talk show variety program of the same name featuring an entrepreneur's perspective premiered on January 5, 2016, with each episode lasting 20 minutes. The program used Feng Lun's personal experiences as entry points, exploring business philosophy and life reflections through travel experiences and guest conversations.

In 2016, Wang Yihui's Jiahua Holdings invested an additional 3.15 billion yuan to control Vantone, acquiring Feng Lun's stake in Vantone Holdings to become an indirect controlling shareholder of Vantone Real Estate, triggering a mandatory tender offer. Feng Lun retained only a director position but withdrew from daily management, focusing on "three-dimensional city" projects.

Soon after, Vantone Real Estate achieved "de-Feng Lunization." Feng Lun completely exited Vantone, which he had founded, turning to cross-industry ventures in business talk shows, satellite launches, and other fields. Wang Yihui became Vantone's new helmsman, beginning to contract real estate business and attempt transformation into communications technology, new energy, and other fields.

In 2020, Wang Yihui was reported to media and Beijing police by former partner Wu Chen, head of the real estate "Hexiang Group," regarding problematic funding sources for acquiring Vantone and disputes involving combined principal and interest of 1 billion yuan in lending disputes. In February 2021, Beijing police determined that Wang Yihui's Jiahua Holdings' suspected high-interest lending case met filing standards and formally opened an investigation.

At that time, Vantone Neo Development had achieved "de-Feng Lunization," with the chairman position alternating between professional manager Jiang Hongyi and actual controller Wang Yihui.

Zhonghe Kunlun (Beijing) Asset Management Co., Ltd. Chairman Bai Wenxi analyzed two possible reasons: first, involving major transaction matters where bosses might personally step forward to control processes and risks; second, involving major responsibilities that managers often cannot bear, forcing bosses to take responsibility themselves.

However, after Wang Yihui's second direct assumption of the chairman role, he encountered the real estate downturn cycle, with three consecutive years of losses from 2022-2024, cumulating over 1.1 billion yuan in losses. Moreover, Vantone Neo Development's transformation has been unsatisfactory, with real estate revenue still accounting for over 99% as of 2024.

Until August 10 this year, the company announced plans to spend 854 million yuan on cross-industry acquisition of chip company Shidu Technology. During the stock exchange inquiry period, Wang Yihui was detained by Beijing police for assisting investigation.

**Founder's Pivot: Feng Lun's 9-Year Preparation to Bottom-fish Kimco and Xixin**

Different flowers bloom on different branches. While Vantone Neo Development faces critical transformation moments, Vantone founder Feng Lun has opened new battlefields. After exiting Vantone in 2016, Feng Lun established Yufeng Group, focusing on big health and real estate.

After nearly a decade of careful positioning, Yufeng Group has formed four core product lines: health apartments "Wutong Apartments," healing hotels "Bushi Ju," medical health industrial parks, and medical malls.

This year marks Feng Lun's major "bottom-fishing" year after nine years of accumulation.

Chongqing's well-known real estate developer Xixin, which entered bankruptcy restructuring due to 62.3 billion yuan in debt, saw some core assets "bottom-fished" by Feng Lun and others.

On April 21 this year, the court approved Xixin Yuanchuang's restructuring plan, entering the execution phase. Xixin Yuanchuang's assets were divided into two parts: three investors acquired some asset packages for 585 million yuan in cash, with remaining assets placed into a five-year service trust.

Among them, Shanghai Lingyu Jiye spent 187 million yuan to acquire some of Xixin's core assets - 100% equity in Chongqing Xixin Yuanchuang Commercial Management Co., Ltd., 70% equity in Chongqing Zhishang Industrial Co., Ltd., 1,076 parking spaces at Nanping Starlight Mall held by Xixin Yuanchuang, and all claims by the restructuring entity against Yuanchuang Commercial Management, Chongqing Zhishang, and Chongqing Xinzhishang Hotel Management Co., Ltd.

Equity penetration reveals that Shanghai Lingyu's largest shareholder is natural person Zhang Shiqiang with 26.7%; second shareholder Wang Jiuneng holds 21.36%; and third shareholder is Feng Lun with 17.8%.

Less than a month after participating in acquiring some of Xixin's core assets, Feng Lun struck again!

In May this year, former billion-yuan real estate company *ST Kimco (000656.SZ) introduced strategic investors through additional share issuance to resolve its debt crisis. Feng Lun's Yufeng Group subsidiary Pinqi Consortium served as lead party, spending 756 million yuan to acquire 14.4% of Kimco shares to supplement Kimco's capital. Simultaneously, Pinqi Consortium raised funds through market channels, bringing in 25 financial investors including Great Wall Assets and Sichuan Development Securities Fund, acquiring 1.8 billion converted shares for a combined 1.872 billion yuan. Thus, Feng Lun-controlled Pinqi Consortium became Kimco's controlling shareholder, diluting original actual controller Huang Hongyun family's holdings from 36% to under 7%. Feng Lun achieved control of *ST Kimco, with total market value of 7.4 billion yuan, using 756 million yuan in leveraged funding.

After Feng Lun's entry, non-core assets were stripped to establish trusts, providing repayment to creditor beneficiaries through commissioned management by New Kimco. Kimco's original core assets were incorporated into the New Kimco listed company. New Kimco operates around four advantageous businesses from the past: "investment management, development services, operations management, and special assets," revitalizing the company.

At the "2025 China Real Estate Annual Trend Forum," Feng Lun stated: "Yufeng Group is not a traditional developer, but through healthy real estate and special opportunity investment, makes every square meter of real estate a value creation unit." He also mentioned that real estate development companies' business models will undergo significant changes, gradually evolving from typical development company models to comprehensive operators and financial operation stages.

From Feng Lun's operations this year - bottom-fishing Xixin with one hand and controlling Kimco with the other - this represents the practice of his philosophy.

At the aforementioned forum, Feng Lun mentioned that "many enterprises tend to choose horizontal transformation, but such transformation often spans too large a scope, easily damaging enterprises' core competitiveness. He believes more stable transformation should grow upward, focusing on deep development within one's own field. Globally, real estate companies that truly perform well follow this model, rather than blind expansion."

Watching peers "build tall buildings, host banquets, then see buildings collapse," astute Feng Lun achieved asset preservation by proactively contracting and exiting traditional real estate. Through years of accumulation and exploration of new real estate models, he has achieved thick accumulation and thin development, realizing trough "bottom-fishing" and betting on the next real estate decade.

Feng Lun, now in his prime, and his former partner Wang Yihui from Vantone Neo Development, with a five-year age difference, have walked completely different life journeys after parting ways. How will their futures unfold? We can wait and see.

What do you think about the vastly different fates of these two "real estate moguls" - Wang Yihui and Feng Lun - who emerged from the same real estate company, Vantone Neo Development Group Co.,Ltd.?