Chapter 311: Big family also has secrets

Equity investment?

When Aida Electronics wants to expand its overseas market, Jiaxin Industrial is not a very suitable partner. Ge Mingde also knows this very well. Ge's family has a great fortune, but it is not very strong in electronic manufacturing and corresponding channel resources.

After Xu Si said this, Ge Mingde was a fool and knew that Aida Electronics had a far-reaching plan to cooperate with Jiaxin Industrial.

Ge Mingde glanced at Sun Shangyi and asked him to come.

Sun Shangyi didn't know Zhang Ke's final intention in advance, and the topic had already reached this point. Of course, he couldn't give up halfway, saying: "How do you plan to invest in equity? The Hong Kong stock market is essentially different from the mainland. I heard that many people make money through insider information in the mainland. And even if the matter is exposed, they will be fined 100,000 yuan, but it will not work completely in Hong Kong. It's okay if it is not exposed. Once it is exposed, the price you pay will definitely make you regret doing this..."

Carsin Industrial has been losing money for years and its equity has dropped to a low point. However, the agency rights of Ida Electronics can greatly improve the financial situation of Carsin Industrial. Before the news was announced, it used affiliated companies to acquire Carsin Industrial's stocks from the capital market at a large price, and waited until Carsin Industrial's financial situation improved and its stock price rose sharply before selling. However, this behavior will inevitably involve insider trading, manipulation of stock prices, commercial bribery and other economic crimes, which will seriously harm the interests of other investors. In the mature capital market, once this behavior is exposed, it will be severely hit. Of course, as long as there are huge profits, some people will take advantage of the loopholes in the rules to make this process more hidden. Even in the United States, such economic crimes are emerging one after another. Relatively speaking, the domestic capital market is a bit unscrupulous. Even so, only a few cases in China will be exposed every year, so the domestic capital market is the cleanest stock market in the world.

Sun Shangyi said this to remind Zhang Ke to note that there is a big difference between the stock markets in Hong Kong and the mainland, not to mention that Aida Electronics is now like a treasure pot, and there is no need to lick blood at the edge of the knife.

Zhang Ke also abandoned insider trading and manipulated stock prices from the bottom of his heart, but in the domestic stock market, it is definitely not a place to invest. If a huge amount of funds does not rely on hidden operations, it will be difficult to survive. Zhang Ke smiled and said: "Is it feasible to place the agency rights and a certain amount of funds in Southeast Asia into a company, and to issue additional shares to Yuexiu to acquire the company?"

The Hong Kong capital market is relatively free. As long as everything complies with the procedures and is recognized by other investors, targeted additional issuance is a very simple thing. This is more convenient than directly purchasing stocks from the stock market. The key is that the entire process must be relatively transparent and legal. In addition, the additional issuance will have a certain period of lock-up period before it can be transferred freely to prevent someone from plundering huge profits through the means of additional issuance.

Sun Shangyi did not speak, and Zhang Ke was able to say this. Compared with other mainland businessmen who wanted to enter the Hong Kong capital market, Zhang Ke would at least not make common sense mistakes, and his eyes were much greater. Fu Mingde and Fu Jiajun looked at each other, which was strange. Zhang Ke did not introduce his identity, but instead of Xu Si and Tao Xingjian was speaking.

"Do you like this company?" Fu Mingde said for a moment, "The Ge family will not give up on this company..."

In the past two years, there have been many companies in the mainland who have gone backdoor listing in Hong Kong. It does not cost much to control a company with poor performance and low stock prices. Then, using various financial means to place mainland companies into listed companies, the process of backdoor listing is completed. It is much more convenient and has less cost than directly issuing shares in the Hong Kong capital market.

"Maybe, but when it comes to shell companies, there are many companies with poor performance in the Hong Kong stock market and less than a cent of stock. Rakuten Industrial can maintain a stock price of around 70 cents. Rakuten Industrial is not so much that the performance of Rakuten Group can still be maintained, but it is better for ordinary investors to have expectations for the Ge family behind Rakuten Industrial..." Zhang Ke smiled and said, "However, since the continuous decline of Hong Kong's electronic manufacturing industry, the Ge family has not come up with a practical solution... If the Ge family will not give up Rakuten Industrial, I think fewer and fewer people will believe it."

"It seems that you have done a lot of homework..." Ge Mingde's face was not very good, and he seemed to have poked Zhang Ke into the pain.

Zhang Ke's reaction to Ge Mingde was also very strange, as if Jiaxin Industrial was his own, not the Ge family. However, he would not take into account the feelings of Ge Mingde's family. If he couldn't even listen to the truth, it would be fine if he didn't cooperate.

"The Ge family is well-known in Hong Kong Island. Even if Chia Xin Industrial has become a shell company, it will be difficult for the Ge family to completely remove the company. Besides, depending on Chia Xin Industrial's situation, it can last for two or three years..." Zhang Ke smiled and said, "If the cooperation between the two parties is pleasant, let alone the agency rights, you can even transfer the brand rights and related technologies of Aida DVD player in overseas regions to Chia Xin Industrial..."

Zhang Ke said this, Ge Mingde and Fu Jiajun's eyes lit up. This suggestion is definitely much more attractive than just getting the agency rights. If it is just agency sales, the scale of sales depends to a large extent on advertising investment in overseas markets. Tao Tianjian has discussed this issue with them on behalf of Aida Electronics. Aida Electronics is currently focusing on the domestic market and can provide more preferential agency prices, but the market publicity work will be handled by Chiaxin Industrial.

Why is Aida Electronics dazzling? Isn’t it that Ida Electronics has invested 80 million yuan in a huge sum of money on CCTV at once?

Jiaxin Industrial can’t afford so much money now, even if it can afford so much money, it is impossible to take such a big step at once. After all, the brand belongs to Aida Electronics. Market sales can be successful and Chixin Industrial can share profits. If it fails, it will help Aida gain popularity overseas for free.

Charles Schwab Industrial has factories in Vietnam and the Philippines. If factories in the Philippines, Vietnam and other places can make Aida DVD players with OEM and organize sales in overseas regions on their own, they can gain greater initiative and make more profits, and can also solve the situation of insufficient factory operating rates in Philippines and Vietnam continuing to lose money.

The overseas brand rights transferred to Jiaxin Industrial as mentioned by Zhang Ke are only for VCD videos. Zhang Ke expects that VCD will gradually replace DVDs in 1998. At that time, the use rights of the Aida brand in overseas regions will actually return to Aida. Even if Jiaxin Industrial continues to produce Aida VCD, there will be no market.

Anyway, it is impossible to take into account the overseas market in the past two years, so it is better to exchange for some actual benefits. Moreover, the operation of Charles Schwab Industrial in overseas regions will continue to increase the value of the Aida brand in overseas markets.

Of course, Zhang Ke’s final moment is to allow Aida Electronics and Charles Schwab Industrial to be inseparable from each other.

Without further discussion on this topic, Zhang Ke and Xu Si walked away. Fu Jiajun is an external manager. Ge Mingde is quite unsatisfied with the Ge family and is a marginalized person. For them, it is not so important whether the Chiaxin Group is a company under the Ge family's name. What is important is to bring the company back to life.

After the birthday party, Zhang Ke stayed in Hong Kong for a day and discussed the advertising songs with Sun Jingxiang. Sun Jingxiang hesitated for a long time and decided to set up a production company. Ye Jianbin would have an investment, so Zhang Ke did not participate. He was also afraid that if Ye Jianbin and Sun Jingxiang had an affair with his wife Ding Wenyi, he would cause trouble.

Zhang Ke's suggestions are very attractive to Chiaxin Industrial, which is in trouble.

The form of equity in the company under the Ge family control is quite special, and most of the equity is in the hands of Ge Jingcheng. However, as he gets more and less involved in the group's affairs, he gradually transfers part of the equity to his children and other Ge family members and spouses, and is preparing to complete the transfer of the entire family's assets.

Although the equity will gradually be transferred to the Ge family members, no one holding the equity has the right to sell it at will, which is also to strengthen the cohesion of the family business.

However, there was a difference in closeness and distantness in this process. Ge Jingcheng's own two sons obtained equity in high-quality companies, while the companies obtained equity by others were relatively poor.

The Ge family holds 32% of the shares of Jiaxin Industrial, Ge Mingde accounts for one-third, and the others are all under Ge Jingcheng's name.

All these things were told by Sun Shangyi. He said to Zhang Ke: "Mingde has made a lot of contributions to the development of the group. Jingmeng's grandfather probably wanted to leave Jiaxin Industrial to him, but until the last moment, the old man would not take them all out..."

Zhang Ke thought to himself: The relatives are so different. When Ge Jingcheng is alive, everyone should be kind to each other and serve them carefully, waiting for Ge Jingcheng to stretch his legs and make a fuss. The Ge family should not make a fuss? He sighed softly and said with a smile: "No wonder Jiaxin Industrial has been half dead for years..."

Whether it is good or bad, it is left to Ge Mingde.
Chapter completed!