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(Bloomberg) — Wanzhou Meng isn’t aloof any C-suite executive. As the babe of Huawei Technologies Co. architect Ren Zhengfei and a accessible beneficiary to his company, her arrest in Canada raises the stakes in an already complicated collision amid the U.S. and China.

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The arch banking administrator in her mid-40s was built-in to Ren, an army engineer, and Meng Jun, the babe of a arch Sichuan government official. In 1987, her ancestor started Huawei, and over the abutting three decades it would aggrandize to become China’s better maker of smartphones and telecommunications equipment. Meng and Ren had two children: Wanzhou and her adolescent brother Ren Ping.

Since abutting Huawei added than 20 years ago, Meng has gone from allowance out at sales exhibitions to become a axial amount in the company’s administration — admitting the catechism of whether she will eventually booty over from her ancestor remains. Despite her family’s abundance and connections, the controlling has eschewed the socialite affairs accepted by her adolescent half-sister, a ballerina belief at Harvard University.

“She’s consistently actual confident” and awful competent, said James Yan, who has met Meng at accessible events. The arrest and blackmail of sanctions are a big accident for the aggregation in allotment because Meng is one of its best important executives, said the analysis administrator at Counterpoint Research, which analyzes the technology market.

Meng — who goes by both Cathy and Sabrina — took her mother’s aftermost name at 16. Added than a abbreviate assignment at China Construction Bank afterwards admission from college, she’s spent her absolute alive activity at Huawei. In 1997, she larboard to get a master’s amount from Huazhong University of Science and Technology, abiding a year-and-a-half afterwards to the company’s accounts department.

There was common belief aural the aggregation and in the media that the attendance of Meng and her adolescent brother Ren at Huawei was allotment of their father’s assumption planning. Ren was so acerb beheld as the abutting arch of the aggregation that the ancient Ren beatific an centralized email in 2013 acutely abstinent the possibility. Ren is not a affiliate of the company’s board.

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In his email, Ren Zhengfei laid out qualities a almsman should have, including vision, appearance and industry-specific knowledge. He assured that “none of my ancestors associates acquire these qualities” and “will never be included in the arrangement of successors,” online account account Sina Tech reported.

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Despite the rebuke, Meng connected to acceleration through the ranks at Huawei. The aggregation said she was controlling administrator and CFO in 2011, back it appear its arch administration for the aboriginal time. In December 2011, her ancestor told advisers he had blight anaplasty alert in the accomplished eight years and appear a alternating arrangement for arch admiral to adapt them to advance the company.

The arrangement began with a circling of CEOs. That has afresh confused to a new archetypal that installs a new administrator every six months who runs the company’s circadian operations. The accepted alternating administrator is Guo Ping. Ren Zhengfei is the company’s CEO.

In March, Meng replaced her ancestor as a carnality chairman. Account of her arrest affronted an actual beef from the Chinese admiral in Canada, ambitious the U.S. and its acquaintance chargeless her. Hong Kong shares fell on Thursday as the adventure reignited apropos about U.S.-China tensions. Huawei’s dollar bonds bashed to almanac lows.

The U.S. is gluttonous Meng’s displacement to angle trial, a action that could booty years. A audition Friday in Vancouver will actuate if she is a flight accident and the adjudicator could adjustment her to abide detained. If not, and bond is set, she apparently would be affected to abandonment her passport. Afterwards that, there’d be a abstracted displacement hearing.

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Company Succession

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At atomic for now, it appears absurd that Meng would arise to the top job at her father’s company. She would apparently accept to do a assignment as alternating administrator to become a applicable adversary for the CEO role and apparently doesn’t angle a adventitious unless that happens, a headhunter accustomed with the company’s admiral said.

Ren has not displayed any apparent favor to his babe at the company, said an agent who beneath to be named. While Meng has a lot of access over the accounts team, her ability in added areas of the business is perceived by others at the aggregation as limited, the being said. A above agent declared her as absorbing and elegant, advancing beyond about like a agent and at affluence about bigwigs and government officials.

Story continues

Meng’s conjugal cachet is unclear. In 2013, she denied that Xu Wenwei, a affiliate of Huawei’s lath and the company’s Arch Strategy Marketing Officer, is her husband. She told 21st Century Business Herald that she has two children, who were 10 and 4 at the time.

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Ren Zhengfei has at atomic one added daughter. Afterwards divorcing Meng’s mother, he affiliated Yao Ling and they had a daughter, Annabel Yao, a computer science apprentice at Harvard in her aboriginal 20s, according to the South China Morning Post. Yao, who danced the aperture flit at the Bal des Débutantes in Paris aftermost month, has said she has no absorption in abutting Huawei. Ren’s third wife, Su Wei, was pictured in a Paris Match annual commodity on the event.

(Adds capacity of displacement action in 11th paragraph.)

–With abetment from James Mayger and Gao Yuan.

To acquaintance Bloomberg Account agents for this story: Huang Zhe in Beijing at [email protected];Haze Fan in Beijing at [email protected];David Ramli in Beijing at [email protected]

To acquaintance the editors amenable for this story: Peter Elstrom at [email protected], Sharon Chen

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