Chapter 395: First Debut in the Primary Market
After dealing with the backlog of affairs, the first working day of June passed like this.
When it was almost time to get off work, Xu Jianqing ran to the office and wandered around. His purpose was self-evident.
He must have found out something from Wang Ruoyu, but Gu Junhao ignored him.
Junshi’s proprietary trading account has no plans to increase its holdings for the time being, and even for a long time in the future, there is no plan to increase its holdings.
As for the 760 million yuan of reduced holdings, in addition to normal taxes, Gu Junhao has his own uses for it.
That's real investment.
As for the tax rates, securities and fund companies' tax rates, they are mandatory inspection items. Gu Junhao dare not play tricks like celebrities on this point. Every payment is made in strict compliance with laws and regulations.
After achieving profitability, Junshi Capital had to pay a considerable amount of personal income tax and corporate tax.
For this, we were praised by the local tax department last year; this year, with the increase in profits, tax payments will definitely go up to a higher level.
For those who have been reborn, it no longer makes much sense to pursue profits excessively in the financial market, and there is no need to participate in every bottom-fishing.
Investing the profits harvested from the financial market into the real economy is the true meaning of life today.
As time goes by, except for those giant companies that were famous in their previous lives, even if they encounter setbacks, they will continue to move forward along their trajectory, just like large-cap blue-chip stocks are driven by funds.
These are the results of the combined efforts of many funds and will not be disturbed by the appearance of a certain individual.
However, for some small projects , the uncertainty factor will be much greater.
Perhaps because of the appearance of Gu Junhao, an important investor was squeezed out, and the final direction of the project became so uncertain.
This uncertainty adds a touch of uncertainty to life and makes it more challenging.
…
"Come out with me later."
One day in mid-June, Gu Junhao just arrived at the company and said to Li Xinyu.
"Ah? On a business trip again? You've only had a few days of rest." Li Xinyu said in surprise.
"It's not a business trip. It's in our district, half an hour away."
"Oh, what are you doing?" Li Xinyu asked curiously. The boss didn't say before that he would go out today, so it seemed like he was just thinking about it on a whim.
"Let's take a look at the information first, and then we can talk while we walk."
After several rounds of screening, Gu Junhao finally identified the first company that Junshi Capital wanted to invest in: Ningbo Xingyuan Technology Co., Ltd.
Despite its high-sounding name, it is actually an automotive parts company engaged in the research, development, production and sales of die-casting products such as magnesium alloys and aluminum alloys, as well as supporting molds.
Beicang is known as the hometown of die-casting molds. There are at least 80 such companies, if not 100. The reason for choosing this company is that, in addition to its current capital needs, the product categories it is engaged in are more in line with the entry standards for new energy vehicles.
As for the investment direction of entities, Gu Junhao defined it as the industrial chain of new energy vehicles. If we go all in in this direction, there will always be a few successful ones.
In addition, this industrial chain is also an industry that recruits a large number of workers, which has a good effect on promoting employment.
Previously, Gu Junhao had spread the word in Beicang through his social circles that as long as the enterprise met the requirements and had investment needs, Junshi Capital would try its best to support it, and as with previous personal investments, it would not seek controlling stakes.
Such a statement naturally attracted many companies in the automotive parts-related industry chain.
Not all bosses are strict about giving up their equity, and not all people like dealing with banks.
Although the central bank has issued a series of solutions for financing small and medium-sized enterprises, financing is still a major problem for many small and medium-sized enterprises.
Rather than lending money to business owners who deal with iron and machines every day, banks prefer to lend money to real estate companies or even individual real estate owners.
Seeing that this was Junshi Capital’s first primary market investment, Li Xinyu also took it seriously. He picked up the documents and followed Gu Junhao out.
In the car, Li Xinyu browsed through the contents of the documents one by one. She had also learned a lot of knowledge in this area recently.
At least, now when you tell her what the mold is and what the specific production process is, Li Xinyu can tell her accurately.
After seeing the offer, Li Xinyu was a little surprised and said, "Huo, estimated to be 150 million? A company with dozens of people? He really dares to ask for it, is he taking advantage of us?"
"This can be negotiated. Don't worry about the quotation for now. Take a serious look at his financial data." Gu Junhao said with a smile.
This offer should just be a test to see if we really want to invest.
After all, when a fund manager who has performed well in the secondary market suddenly announces that he wants to invest in an entity, and a real entity that is not favored by the market, no one knows whether it is a gimmick.
What's more, no business owner wants to sell his shares at a low price. If he can sell them at a higher price, he will be better off.
Ask for a high price and pay it back when it’s low.
Xingyuan Technology is located in an industrial area in the suburbs of Beicang, adjacent to Yingzhou District. This industrial area is in the new development stage.
It is still in the process of being opened to the public. It looks rather desolate, with construction sites everywhere and incomplete supporting facilities.
In addition to the national textile industry leader that is the most powerful in Beicang, another foreign-funded enterprise that has moved in is also an automobile parts company.
These two companies are already listed, but on the Hong Kong stock market, and the rest are basically small and medium-sized enterprises.
By the way, the company of Brother Xu, who has a good relationship with Gu Junhao, has also moved here.
After about 40 minutes' drive, Gu Junhao arrived at the gate of Xingyuan Technology Company. After Li Yaohui negotiated with the guard, the car drove straight in.
As soon as Li Yaohui parked the car, he saw a short, casually dressed and slightly fat middle-aged man walking towards Gu Junhao from the direction of the workshop.
"Hello, Mr. Gu. I'm Qiu Xingyuan."
"Hello, Mr. Qiu. I hope I didn't disturb you."
Before coming, Gu Junhao had already made an appointment with the other party; since it was their first meeting, he naturally couldn't do something presumptuous like visiting the person.
Wouldn't it be even more embarrassing if the other person wasn't there?
"No, no, I've heard a lot about Mr. Gu recently . I'm very happy to meet you. Please come in, let's have a cup of tea together in the office." Qiu Xingyuan said with a smile.
Qiu Xingyuan then looked at Gu Junhao, who was traveling with only two people, and said with a smile: "Friends all say that although Mr. Gu is young, he is relatively low-key. It seems to be true today."
"Oh? What do you mean?" Gu Junhao also replied with interest. He understood the meaning. It seemed that the reason why this person sought investment from Junshi Capital was because he heard it from an acquaintance.
"This beautiful lady should be Mr. Gu's assistant. Besides her, there is only one driver. This doesn't look like the appearance of a young billionaire with a net worth of billions."
"Haha, Mr. Qiu, you must be joking. I am still very confident about the public security in our city."
"That's true. Please take a seat. What would you two like to drink?"
Only Gu Junhao and Li Xinyu came to the office; Li Yaohui did not come in.
"It's all right, Mr. Qiu, please feel free to do as you like."
Before coming, Gu Junhao had some understanding of Qiu Xingyuan. Born in the 1970s, he is currently 45 years old, which means he is in his prime.
With a high school education, he founded a mold factory in 2000 when he was less than 30 years old. This is the predecessor of our current company. It has grown to a certain scale today.
Although there are only dozens of employees, the annual output value is still very good. There are many small companies with only dozens of employees in Ningbo that can achieve an output value of tens of millions or even hundreds of millions. There is nothing strange about this.
Although there is a certain amount of exaggeration in the valuation, it must have taken a certain amount of confidence .
After a brief greeting, Gu Junhao got straight to the point: "Mr. Qiu, the purpose of this visit is very simple. Junshi Capital is interested in company. I wonder what you think."
Qiu Xingyuan looked at Gu Junhao and did not answer the question directly. Instead, he asked Gu Junhao, "Mr. Gu has worked in Deye before. He should know that it is much harder to make money in our industry than in the financial market. Maybe the annual income is not as much as Mr. Gu's in one day. Why does Mr. Gu want to invest in me, or even in this industry?"
"It's very simple. My philosophy is that finance should feed back to industry." Gu Junhao said bluntly.
"Finance feeding back to industry?" Qiu Xingyuan asked doubtfully.
"Yes, as Mr. Qiu said, for me, making money in the financial market is indeed much easier than in the real economy. I believe you have learned about the performance of our company's funds through various channels."
Gu Junhao paused for a while; at this time, Qiu Xingyuan also smiled and continued: "Yes, to be honest, I am indeed a little jealous, but unfortunately I don’t have money now, otherwise I would definitely buy some Junshi Price Investment."
"For me, making money is not difficult. I don't even have to do anything now. I can live well just by the management fees of these two funds. But what's the point?"
"I am not even 30 years old yet. No matter how much money I have, how much can I and my family spend? Or can I keep the money?"
"Mr. Qiu, you can start your own business before you are 30 and choose the real industry; for me, why can't I do the same?"
"It's different, it's different. The environment back then was different from now. Making molds was more profitable at that time, with high gross profit margins." Qiu Xingyuan waved his hand.
"Indeed, the market environment is different, but it is still profitable. Otherwise, Mr. Qiu would not be thinking about expanding the scale, right?"
"Oh no, what else can we do? If we don't expand, we won't be able to keep up with the times. Now, when we receive orders, we have to inspect the factory. If you don't have good conditions, you can't even get big orders."
"So this is where Junshi Capital and Mr. Qiu agree. Our company is responsible for the funding issues, and Mr. Qiu will solve the production problems. Both parties can achieve a win-win cooperation."
After a pause, Gu Junhao continued, "Back to the original topic of finance feeding back to industry, our philosophy is to invest in industry through the profits earned in the financial market, which can help some small and medium-sized enterprises solve their funding problems, while also playing a certain role in improving the local employment environment and taxation."
"As for profits, we don't pursue them too much. As long as we don't lose money, it's fine. Whether we make more or less is up to fate."
"What a great guy. It's up to fate to make more or less money. Mr. Gu is generous and has a high vision." Qiu Xingyuan looked at the young man with some surprise.
To be honest, not many young people nowadays are interested in real estate. Even if it is their own son, they are not willing to take over because they think it is too tiring.
Regardless of whether what Gu Junhao said was true or false, Qiu Xingyuan felt that he was worthy of admiration for being willing to come and discuss this matter.
"Mr. Qiu should also know that I have personally invested in an auto parts company in Feng City before, so please believe in our sincerity." Gu Junhao said sincerely.
"Yes, I've heard of it. It is said that the company is doing very well now." Qiu Xingyuan nodded.
He had already inquired about this aspect, and he also knew that Gu Junhao really did not interfere with the specific operations. Apart from sending accountants to check the accounts regularly, he did not intervene in any actual operations.
This is also one of the reasons why Qiu Xingyuan was attracted. No boss wants to find someone who tells him how to work every day, especially when that person is still young.
At this point, Qiu Xingyuan was already somewhat tempted; an investor who was not short of money, would not interfere with his business operations, and at the same time could provide him with certain connections.
There are not many people who are more suitable than the young man in front of him.
The man has feelings and the woman is willing; when both parties are willing to promote cooperation, the rest will be easy to discuss.
Next, Qiu Xingyuan and Gu Junhao had some differences on the company's valuation. The price-to-earnings ratio of the manufacturing industry is generally between 5 and 25, which is considered reasonable, and cannot exceed 40 at most.
The offer of 150 million yuan given by Qiu Xingyuan is obviously not cost-effective, but Qiu Xingyuan also said frankly that the price is indeed high, but not particularly high.
After all, my company has been operating normally for 16 years. If I don’t want to seek a breakthrough, there is no need to raise funds.
The specific valuation can be discussed further, but the implication is that it will not drop much.
"In that case, I'll go back and think about it, and then give Mr. Qiu a reply in a few days, how about that?" Seeing that they could not agree on the price, Gu Junhao decisively ended today's topic.
"Ah? Okay then, why don't we eat before leaving? It's almost noon." Qiu Xingyuan was obviously stunned and said to Gu Junhao.
This young man is somewhat unsportsmanlike and stops when he is told to.
"No, I have to go sit with my brother Xu for a while. I haven't had the time to visit since their factory moved here." Gu Junhao said with a smile. It was not even 10 o'clock yet, so it was nonsense to have lunch.
"Brother Xu?"
"Well, Xu Dong from Xushen. I wonder if Mr. Qiu knows him." Gu Junhao nodded.
"Yes, of course I don't recognize him. We are from the same association." Qiu Xingyuan glanced at Gu Junhao and said, "I've heard people say that Mr. Gu and Mr. Xu are close friends regardless of age difference. It seems to be true."
"No, Brother Xu just thinks highly of me. That's all for today. Sorry to bother you, Mr. Qiu. We will follow up later and will trouble you again then."
"No problem, Mr. Gu is welcome to be my guest. Regardless of whether we can cooperate or not, I have made Mr. Gu my friend."
"It's my pleasure. Mr. Qiu, please stay."
