Chapter 450: Changchun Caijing

Changchun Caijing, a newly established Sino-foreign joint venture, currently has only one framework.
This is a company established by the four offices of Mitsui & Co., Ltd., and currently commits to the shareholders of Mitsui & Co., Marubeni Corporation, Sanyo Electric, IBM, Toyo and DTI.
DTI is also a company that can produce CPU. It was originally established by Dongzhi and IBM as a joint venture. At the beginning, it only produced notebook-specific CPU.
However, CPU-related technologies have been divided by the two companies, and IBM currently holds the bulk. It is also the transformation of this enterprise that the notebook business of Dongzhi will continue to decline in the future, and the profit margin will be reduced too much.
Both companies wanted to maximize the benefits of DTI’s assets, so they planned to sell some of their technology and production lines directly. After searching for a long time, they found Mitsui & Co., Ltd., which has a very wide network in the world. Depreciated assets are sold, or turned into value-added assets.
Mitsui & Co., Ltd. is a subsidiary of Mitsui Financial Group, the world's top consortium, and customers include most of the world's top 500 companies. Many of their investments are made in the long-term interests. This time, they chose to cooperate with Huaxia's enterprises for the long-term interests.
Encapsulate South Korea's LCD panel market with China and the island market, preventing South Korean companies from developing.
Unfortunately, several companies such as Mitsui & Co. are reluctant to invest too much money. What they want to come up with is technology and obsolete production lines, hoping that China will make a lot of cash.
It just happened that Huaxia also hoped to be able to hold a controlling share. It didn't want this joint venture to become an island company's money factory in the mainland, but Changchun couldn't get the money.
The above-mentioned Ninth Five-Year Plan does not include the electronics industry, so there is no such budget and no investment will be allocated. After all, Changchun requires too much funds. It is said that the first phase will require one billion RMB.
It seems that this is not much. Zhiduoxing Group measures to be a large-scale LCD company with a budget of one billion US dollars.
However, raw materials, auxiliary materials, etc. must be purchased from companies such as Dongzhi and Sanyo. This is completely a production plant, and the profits of the island are made by the island company.
But for Changchun, this is also an excellent opportunity. There is a subsidiary of Zhiduoxing Group in the ice city next door, and there is the headquarters of Zhiduoxing Group to the north. Lianxiang Group, Jinyuanyuan, and many electronic companies.
There is no decent electronics company in Changchun. Looking at other people's Zhiduoxing Group, the market value has gone to 19 billion US dollars, saying that it will definitely exceed 20 billion US dollars next year, showing how big the market of the electronics industry is.
They regarded this as a key project of the province this year and a key project of the Ninth Five-Year Plan. For this reason, the political axe also saves money and hopes to have funds to operate this project, but it is still a lot worse.
At this time, someone put forward a plan, we have no money, we can raise funds for listing. Get a shell company, inject assets into it, and then issue one hundred million shares, one share for ten yuan, don't you have one billion funds?
Look at the Zhiduoxing Group of people. For a share of thirty dollars, aren't many people rushing to buy it? The number of shares issued by others is said to be 200 million shares. We only have half the amount and the price is so cheap. Someone must buy it.
In addition to Changchun Electronics' investment in Changchun, Political Axe deliberately made a company called Tonghai Hi-Tech and made an announcement.
At this time, Liu Chuanzhi had such an announcement in his hands.
The total investment is expected to be 1.32 billion RMB. After it is put into production, the annual sales will reach 1.44 billion RMB and the profit will be 290 million RMB.
Now the profit margin is over 20%, isn't it nonsense!
Yes, there are indeed many LCD manufacturers that can achieve 20% profit at this time, but they are all companies in the island country. They have good technology, low production costs, and high sales. In the early years, the island countries were in the global market of LCD. In the past, the share was once as high as 94%!
Even now, it is more than 60%. There are more than a dozen companies doing this in island countries, many of which are among the world's top 500.
Changchun Caijing got a second-hand production line, even though it is not backward in technology, but claims to be able to produce all specifications of liquid crystals from 5 to 16.1 inches. In fact, the production line can only produce 10.4 and 16.1. If you want to produce other, you also need Order a new production line.
These two types are mainly aimed at laptop computers and monitor monitors. There are few domestic companies producing related products, such as PDAs, video phones, satellite positioning, and car LCD screens. How can you order you? LCD panel?
When sold abroad, it is not competitive at all.
"Yuanqing, look at this announcement, do you think this company is worth investing in?"
Vice President Yang Yuanqing took over the information and quickly frowned: "Chairman, the data written above is not quite right, they cannot have such a high profit."
"And their current capital scale is extremely low, how can they get so much money? Are they planning to issue 100% of the outstanding shares?"
"So you think this company's stock offering will definitely fail?" Liu Chuanzhi asked with a smile.
"Sure ~EbookFREE.me~ is listed on our mainland, requires a certain operating income, requires profits, and also requires the number of shareholders, etc., their circulation and proposed pricing cannot be reviewed."
If this company goes public, it will become a high-risk business, and it will be completely circulated. If such a company can pass the review, then the listed company in China will be able to increase tenfold, and the stock market will soon become green.
"So do you think their technology is worth investing in?"
"This seems to be okay. In the domestic research on LCD technology, one is Changchun Electronics Research Institute and the other is Hankou Electronics Research Institute. We have also contacted before, but they have too much capital and we cannot afford to invest."
"It’s the same this time. One billion RMB is just the beginning. We always have to invest some research and development expenses to make the LCD panel screen bigger. These technologies are not available, and there are no domestic raw materials. We need to import. Our company’s current funds not enough."
If it is only a shareholding and no right to speak, it will definitely be pitted to the gang of Changchun Caijing. They have insufficient understanding of the application prospects of the products and the development of the technology. Now those two specifications are produced, and they will fall into losses within a few years.
"What if there is a large shareholder? This large shareholder has more funds. As the second shareholder, we jointly control the board of directors. Do you think it is feasible?"
"There is still a large shareholder, can you believe it? If we are fooled by the other party, then the company's external expansion will definitely be delayed. We will deploy direct stores throughout the country this year." Yang Yuanqing reminded.
"I believe in him, and you will also believe, because this company is Zhiduoxing Group, and their president Zhang Yang came to talk to me personally."
"Since you also feel feasible, then open the board tomorrow, we will vote on it."