Chapter 350 Overseas Expansion Investment in the Retail Industry
Wei Zetao asked: "Yang Sheng also wants to invest in the business here in Wanwan?"
"Invest a little, maybe." Yang Wendong thought about it. He thought and said: "You also know that Changxing Real Estate is currently in a contraction strategy in the Hong Kong local market, and it still has a lot of funds in hand. It is a good choice to come and invest in Wanwan."
Li Real Estate The crisis is less than two years away. Naturally, Changxing Real Estate, under Yang Wendong's instructions, has shrunk its front lines and focused on investing to help Carrefour acquire its own properties. It has not been active in other aspects.
Such a contraction strategy is naturally impossible to hide from other real estate companies and media in Hong Kong. There have been rumors in the market for a long time. There are still many people who firmly believe that the real estate market will continue to rise, and in turn laugh at Changxing Real Estate. .
Yang Wendong didn't want to hide it, and outsiders speculated that by next year, Changxing Real Estate would sell off various properties on a large scale, and it was still necessary to count on people or companies with full confidence in real estate to take over the properties at a high level.
With this operation, the funds in hand will be free. After all, loans can be used for Carrefour store construction, so there is no need to spend money yourself, and such a project will not require a lot of funds.
Wei Zetao said: "In Kewanwan, the commercialization of real estate is not developed, and there are not many well-known real estate companies. Moreover, there should be government connections behind them, so it is not easy to buy shares. "
"I don't want to invest in real estate companies like Wanwan." Yang Wendong thought for a while and said, "I just want to invest in supermarkets or movie theaters, but the law doesn't allow it, so I can only find a way to cooperate with Wanwan. A joint venture with someone from Wanwan will be enough."
Wei Zetao thought for a while and said, "Maybe we can cooperate with Wang Yongqing. He is from Wanwan and just sign a future repurchase agreement."
"Let me think about it." Yang Wendong nodded and said, "You still need to be more cautious about this matter, and you need to discuss it with Wang Yongqing alone."
After arriving at a hotel, after settling in for various accommodations , Yang Wendong also welcomed a guest.
"Hello, Mr. Wang." Yang Wendong said to a middle-aged man, shaking hands politely.
This person is naturally Wang Yongqing, the founder of Formosa Plastics Group. Yang Wendong also admires this future Asian plastics king from the bottom of his heart.
Those who can build a company into a world-class company are definitely at the level of dragons and phoenixes among people.
Wang Yongqing also smiled and said: "Yang Sheng, long time no see. Your business is getting bigger and bigger. I often hear news reports about you in Wanwan."
Yang Wendong asked curiously He said: "The news here in Wanwan also reports on me?"
Wang Yongqing said with a smile: "Yes, the Chinese in Wanwan are actually similar to those in Hong Kong. They are all strong. Now the country is stable and everyone is focused on development. Economically, those Chinese who can make their business big will naturally be admired.
Especially Yang Sheng, who started from scratch and built a big business in a few years. It can be said that he is the most successful among the Chinese group. Representative."
"Haha, I didn't expect that I have such a high evaluation here in Wanwan." Yang Wendong said with a smile.
As the scale of Changxing Group becomes larger and larger, it is normal for it to be noticed by overseas media. Among the Chinese community, I am definitely ranked high, and if I really count myself as a first-generation entrepreneur, I may be the first. , some other Chinese families, most of them are the result of the efforts of several generations.
"Yang Sheng can consider increasing investment in Wanwan. The government here will definitely welcome it." Wang Yongqing said with a smile.
Yang Wendong asked curiously: "What? You also came to let me invest on behalf of the Bayan government?"
"Half and half, the Bayan government has indeed approached me before." Wang Yongqing said with a smile.
"Well, that's normal." Yang Wendong nodded and asked, "Let's talk about our business first."
"Okay." Wang Yongqing also said: "I'm looking for you about Formosa Plastics. In recent years, due to the rapid economic development in Taiwan and Southeast Asia, the demand for plastics is very high, and Formosa Plastics is also developing rapidly; < br>
So I am going to make a big investment to build a large-scale plastic production base and double the existing production capacity to 1.2 million tons of plastic and nylon production capacity.”
“You are thinking. "You want me to increase capital according to the shares?" Yang Wendong agreed: "No problem, I will pay in proportion."
He will definitely support future giants such as "Formosa Plastics" and "Wal-Mart". , not only will it bring future economic returns, but it will also help you in other industries.
The larger the scale of Formosa Plastics, the cheaper raw materials it can obtain. Today's plastics have become the raw materials with the highest demand for Changxing Group, not only Changxing Industrial, but also the home appliances of Honor Electronics in the future. , are also very dependent on plastic.
Wang Yongqing said: "That's good, but this time the expansion of production capacity requires a lot of funds. I roughly estimated that it will cost 6 million US dollars. This is too much financial pressure for Formosa Plastics.
And Because a lot of equipment requires foreign exchange to purchase, with such a large amount of money, the Bayan Government may have problems, so I hope to borrow US dollars from banks in Hong Kong.”
“The Bayan Government will not be like this. Short-sighted, right?" Yang Wendong asked curiously: "After you expand your production capacity, won't you be able to earn foreign exchange by exporting your products?"
Wang Yongqing said with a smile: "That's true, but the core problem is Confidence, I have this confidence, and so do you, Mr. Yang, but the Bayan government does not. They may think what if the scale expands too much and cannot be sold.”
“That’s true, their perspective is not the same. The same, but the level of professionalism is also different." Yang Wendong nodded.
In fact, if it weren't for Wang Yongqing's achievements in his previous life, but other companies he invested in came and said such things to him, he would be very cautious.
The future of plastics is naturally huge, but how to prove that a company can become the leader in this field? Even if Yang Wendong invests in person, he is not sure, because time travelers do not have the ability to operate such a non-creative industry. Only Wang Yongqing, a historically awesome figure, can Yang Wendong dare to invest with confidence.
A few million dollars is not a small amount of money. Even for Changxing Group, it will be very painful if it loses money.
Wang Yongqing continued: "So it is most convenient to find an overseas bank. I originally wanted to find a Japanese bank, but the bank there has connections with many consortiums. They also want to invest in Formosa Plastics, and even I also wanted the right to speak, so I didn’t agree.”
"Okay, then I will come forward and ask HSBC to send someone to come to you." Yang Wendong agreed: "As for the guarantee, you try your best to convince them with your own ability data. If it still doesn't work, I will guarantee the insufficient part, but My guarantee is not free either.”
"Understood." Wang Yongqing said with a smile: "I have prepared this information a long time ago."
"Okay." Yang Wendong said again: "If the funds are still not enough, I can continue to invest, you Think carefully for yourself, do you want me to vote again? Capital, I don’t insist on this matter.”
The more potential stocks you have in the future, the better, but there must be a limit. For example, if outsiders really get too many shares in Wal-Mart, then it will be a problem. It's possible that Newton would immediately change his vest and start his career again.
So everything has its own limits, especially in the early stages, just invest appropriately. When the other party becomes larger or goes public, it is best to find ways to increase the shares. Don’t be too greedy.
Now, Yang Wendong has also given this choice to Wang Yongqing, which is considered more respectful. It is better if you agree, and it doesn't matter if you disagree. The most important thing is that both parties can continue to cooperate like this.
"Well, Yang Sheng, I won't accept investment for the time being." Wang Yongqing thought for a while and said, "Actually, this time I just want to expand the market quickly, and it's not that urgent."
Yang Wendong said with a smile: "I understand that in our own industry, we generally need to control more equity, so I’m just mentioning that it’s your voluntary decision.”
Chinese-owned companies all have the habit of holding their own holdings. They would rather be smaller in size to stabilize their ownership. Even Internet companies in the previous life had to rely on large-scale financing. , there is also an AB share model that can preserve the founder’s control. Use yourself to save others, and Yang Wendong is the same.
"Okay." Wang Yongqing continued: "This second thing is what Yang Sheng knows, and it was entrusted to me by the Wanwan government. I hope that Yang Sheng can come to Wanwan. Investment in the Gulf, especially in some labor-intensive industries, can drive large-scale employment in factories.”
"It's a coincidence. I was discussing this issue with Lao Wei just now." Yang Wendong smiled and asked: "What kind of conditions can Wanwan offer?"
With the Hong Kong government Talking about investment is meaningless, because the British Hong Kong government touts the "free market principle". Basically, you can come or go if you like. Unless there are too many unemployed people and it affects the society, they may talk about the conditions.
Other normal governments will generally provide preferential treatment for foreign investment. For example, in the Mainland in the 1980s, a factory that could generate foreign exchange and create employment for tens of thousands of people would be able to provide a lot of preferential treatment.
Wang Yongqing said: "It depends on Yang Sheng and your own people to negotiate the details, but basically we can achieve free land and tax incentives for 3 to 5 years."
"Well, I will discuss this matter internally." Yang Wendong nodded, and then asked: "Is it okay if I come to Wanwan to invest in the service industry?"
"Service industry? You mean Carrefour?" Wang Yongqing asked. He also knew a little about many industries of Yang Wendong, the major shareholder.
Yang Wendong nodded and said: "Yes, Carrefour also intends to enter overseas, and Wanwan will be the first market."
"Direct investment is definitely not possible, the law does not allow it." Wang Yongqing said: “However, we can cooperate with local capital, such as some common franchise models, and the shareholding does not exceed 33%. The government There is no complete closure there. In fact, the local service industry can learn from overseas experience."
"I know." Yang Wendong thought for a while and said, "How about cooperating with you, Wang Sheng? ?”
“Me?” Wang Yongqing asked in confusion: “But I have never been involved in the retail industry?”
Yang Wendong said: "It doesn't matter. You have all the ZZ resources and local connections I need. In terms of operations, you can just let my people come or recruit people in Wanwan." '
Now Wang Yongqing is already the largest plastic supplier in Wanwan, and his power is not small. In the next five or ten years, his industrial development will be faster, so his position in Wanwan's local area will naturally higher.
These are also in line with Yang Wendong's criteria for seeking cooperation with local consortiums overseas. However, Wang Yongqing has not yet formed the awareness of a "consortium" because he has been in business for too short a time.
"It's okay." Wang Yongqing nodded and said, "Then how can we join in and cooperate?"
Yang Wendong thought for a while and said: "I will send someone to talk to you about the details, including As for the Wanwan government, there is a prerequisite. If Wanwan allows wholly foreign investment in the future, then I need to take back these equity interests.”
Hong Kong real estate is about to have problems, so your funds can be appropriately transferred to Wanwan, another Chinese gathering place. Although the economy here is a bit worse, the population is much larger than that of Hong Kong. Taken together, it will be a No less big market than Hong Kong.
If Wanwan can be built into one of the root bases of its own retail industry, it will be very beneficial to Carrefour’s future expansion. Even in the short term, it can optimize the industrial chain and reduce costs, thus It can also help Hong Kong supermarkets fight against Jardine Matheson and other possible competitors.
There is also real estate, some prime locations like "Central" or large tracts of land in the suburbs. It is easier to buy at this time. When the late 1960s and early 1970s, when people in Wanwan also started speculating on real estate, I think It will be more difficult to start again.
"Okay." Wang Yongqing didn't pay much attention.
He knows that this retail cooperation is just about each getting what he needs. The other party needs his local resources, and he can also gain a little benefit, and then at the same time consolidate the cooperative relationship between the two parties.
For him, the most important thing is the planning of his new industrial base.
"Okay, I will be responsible for this matter." Yang Wendong nodded and said.
Wanwan’s market won’t be very big, and neither he nor Wang Yongqing actually care much about it.
In the next few days, Yang Wendong took Su Yiyi and his eldest son to play in Taipei for a few days before returning to Hong Kong.
Monday, June 10th.
Yang Wendong met Lin Youjing, a subordinate he had not seen for a long time in Changxing Building.
"Hello, Yang Sheng." Lin Youjing said with a polite smile.
"Sit down, Alin." Yang Wendong said with a smile.
Lin Youjing is not very old, he is only in his early 30s this year. Although he is still older than Yang Wendong, he is much better than other managers.
"Thank you Yang Sheng." After Lin Youjing sat down, the assistant also served a cup of tea.
Yang Wendong said: "Alin, you have worked hard in the United States in the past few years. You have established many of the group's industry channels and even research centers in the United States."
The industrial products under his own banner, There are 3M channels in the United States, but they also need to be maintained by their own people. As for electronic products or some small commodities, if they do not go through the big channels, Lin Youjing will get to know various channels in the United States, so as to prepare for the future of his own products. Lay the foundation for a large-scale entry into the United States.
Lin Youming smiled and said, "Yang Sheng is so polite. This is what I should do."
"Well," Yang Wendong said, "I asked you to go back to Hong Kong this time. There is one thing I still want to do. I need to entrust you to do it.”
“What is it?” Yang Sheng asked.
Yang Wendong said: "I hope you will go to Europe and acquire shares of several European companies for me. These European companies are all retail groups. They are some companies that I am optimistic about after reviewing a lot of information in the past few years."
After saying that, he handed over the paper.
Lin Youjing took the paper, with a few letter names written on it: IKEA (Sweden), Carrefour (France), TESCO (UK), Auchan (France), Germany's ALDI (ILDI)) .
A total of 11 names, Lin You After reading it, Ming asked: "I have never heard of these. Does Yang Sheng want to acquire it or invest?"
"It's just investment." Yang Wendong added: "But if we can achieve the same goal as Wal-Mart, Strategic cooperation is the best. If that doesn’t work, just invest.”
"Okay, I understand." Lin Youjing agreed: "I will leave for Europe immediately to learn about the situation of these companies."
"Well, okay." Yang Wendong said again: "These companies It doesn’t all require investment, just a few if you can. If there is any progress, please contact me at any time.”
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(End of this chapter)