For the Four Heavenly Sovereigns and Divine Kings of the Heavenly Court, negotiating peace with Zheng Ming is, in itself, a great insult to them.
After all, this matter for the Heavenly Court is not a glorious one, and negotiating peace undoubtedly rubs salt into the Heavenly Court's wounds.
But they all understand clearly that under the current circumstances, even if they are unwilling, they have no choice but to negotiate peace with Zheng Ming. If the fight continues, or if they continue to be besieged by Zheng Ming like this, the Heavenly Court would have no reason to exist!
The arrival of Sun Yuanyi is a good thing for the Heavenly Court, and although the conditions he proposed were not very satisfying to the Heavenly Court, having been severely beaten and then allowing the opponent to leave still felt quite aggrieving.
But these are things the Four Heavenly Sovereigns of the Heavenly Court can still endure.