The most important thing will be said last.
Factory Director Li asked Xing Baohua, "Do you know about Feiyue Audio in Shanghai?"
Xing Baohua nodded and said, "I know. They even wanted to buy our factory's audio equipment back then. They offered a super low price, but I managed to snatch it back. What happened?"
"They also established a collective shareholding system, issued 10,000 shares, and even distributed dividends of 35 yuan per share. It was all over the newspapers a while back," the old factory director said.
"Does this have anything to do with us now?" Xing Baohua asked, sipping his tea.
"It's somewhat related; everyone's watching. Even though the restructuring conference is only a few days away, everyone's asking if we should also issue shares."
As soon as the old factory director finished speaking, Xing Baohua turned to look at him, looking a little confused.
"What do you mean? Why are we issuing stocks?" Xing Baohua was completely bewildered by the question and could only ask back.
Then, the old factory director found a newspaper on his desk, which had a picture of a stock certificate.
After reading it, Xing Baohua understood.
These are the shares that were subscribed!
This thing can be used as currency.
It can be transferred or bought and sold.
Xing Baohua shook his head and said, "We won't have that. Is someone asking you when we'll release it so they can subscribe?"
Factory Director Li nodded and said, "Yes!"
"Our system is different from traditional joint-stock companies. These stocks are available for subscription by the public or internally. For example, the stocks issued by this audio equipment factory."
Each share costs fifty yuan. They issued 10,000 shares, raising 500,000 yuan for their company's development. If things go well, everyone will receive dividends. If things don't go well, either no dividends will be distributed, but shares will be issued instead, and the next dividend payout will be held.
Seeing that Director Li was listening attentively, Xing Baohua continued, "We are a privately-owned enterprise that has been converted into a collective enterprise. Distributing shares is a way to incentivize employees. In other words, every employee of the Rice Electronics Factory will hold shares."
As long as you work at the electronics factory for one day, you'll enjoy the profit-sharing system; however, if you leave, you can't take your shares with you. That's the difference. We will not accept external subscriptions for shares.
Factory Director Li closed his eyes, as if digesting what Xing Baohua had said.
He then added, "What if the State-owned Assets Supervision and Administration Commission (SASAC) subscribes?"
Xing Baohua thought for a moment and said, "Okay, but the shares held by the union can't be touched. They can only buy mine or Shangguzhuang's. This year, the electronics factory's turnover is already close to 40 billion, and it will be even more in the future."
Xing Baohua concealed one thing here: a department used his account, resulting in a transaction of over 20 billion yuan.
Even after deducting the 20 billion, Xing Baohua's sales revenue is still around 10 billion.
This is just the current cash flow; there are still many assets, and looking at the massive complex, it's worth a fortune.
With a premium of several times, Xing Baohua can inflate a valuation of 100 billion yuan; if he doesn't have one, he can find a way to make it look fake.
They're simply raising prices on the spot and not letting anyone bargain!
After Xing Baohua counted on his fingers, even the old factory director was startled.
Thankfully, Secretary Huang wasn't here; otherwise, based on Xing Baohua's valuation, Secretary Huang would have given him a good dressing down. Whether it's 100 billion or 10 billion, even if it's just 1% now, it's still at least 100 million!
Kid, tell me, how many tens of thousands did you give to Shangguzhuang in total?
Since the old factory director didn't handle finances, he didn't know anything about what was going on here.
However, given his current situation, Xing Baohua has already dismantled many of his assets.
We left the laboratory building.
The newest office building has also been allocated.
If the most core components of an electronics factory are gone, what's the point of it being worth so much money?
I don't know how Xing Baohua calculated it, but in his words it became a super behemoth.
The old factory director pointed at Xing Baohua and said, "I knew you were all talk and no action."
"Don't worry about whether I'm talking nonsense or not, just do as I say and tell those people who want information from you."
A valuation of 100 billion, no questions asked.
"You'll get cursed to death."
Xing Baohua laughed, then said seriously, "Give me another five years, and he'll be worth 100 billion!"
Seeing Xing Baohua's serious expression, Director Li said nothing more.
"In 1984, I used the 10,000 yuan I earned from selling audio equipment to contract the straw rope factory here. In three years, I built it into a business worth tens of billions. Can you calculate how many times I multiplied it?"
I'm being conservative with a target of 100 billion over five years. Do you think it's excessive for them to spend a few hundred million to buy my shares? That's practically robbery!
Xing Baohua tapped the table and said in a slightly angry tone.
The old factory director was speechless. Xing Baohua was right; the electronics factory was developing too fast.
It's so fast that people can't react in time.
Orders and money were pouring into this factory like crazy, there was no stopping it.
Who doesn't get greedy for money? Actually, this money belongs to Xing Baohua. It's hard for ordinary people to do that he would give up 92% of the shares.
"Uncle Li, as you've noticed, I actually started splitting up the assets six months ago. The electronics factory is currently just an empty shell; as long as I'm involved, it's very valuable."
If I leave, it will lose its value; the core, the valuable parts will all be divested. My biggest fear is that one day I'll face unbearable pressure and lose control of the factory. I'm not afraid of my competitors in the market; I'm afraid of being betrayed by my own people.
Xing Baohua spoke frankly this time.
The old factory director had seen plenty of these kinds of situations where everyone was pretending to be something they didn't. He understood Xing Baohua's cautiousness very well.
"You invited me here to be your shield. I'll protect you from the outside world's troubles. You can focus your energy on your own work," the old factory director said in a drawn-out voice after taking a deep drag on his cigarette.
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