December 11, Monday, 8:00 am, Henglong Building 28th floor.
Zhang Qingxue arrived earlier than Zhao Chen expected.
When he opened the door and came in, she was already sitting on the sofa in the reception area, with her laptop spread out in front of her and her fingers typing rapidly on the keyboard.
She wore a dark gray suit today, her hair was neatly tied back, and she looked the same as before her vacation.
"Xiao Chen." She raised her head and closed the computer.
Zhao Chen sat down opposite her. "So early?"
Zhang Qingxue said, "I'm used to it. I went through Prospectus of Shennong again last night. There are some issues that I want to discuss together when Chen Xi comes back."
Su Wantang brought two cups of coffee in and placed them in front of the two of them.
Zhang Qingxue took the coffee and nodded as a thank you.
Zhao Chen leaned on the sofa. "Thank you for your hard work. For the specific matters, we will have a meeting together when Chen Xi arrives."
Zhang Qingxue said, "Understood."
At ten o'clock in the morning, Chen Xi appeared at Henglong.
It seems that she took the earliest flight back.
When Chen Xi arrived, his face was still tired from the journey, but he was in good spirits.
She pushed the door open and came in, seeing Zhang Qingxue already sitting in front of the computer, and Song Zhongping, Chen Qiming, and Liu Mingyu were also there.
"I'm sorry, I'm out of town. I booked a flight to go back after receiving the call from Zhao Zong, but I'm still a little late." She sat down next to Zhang Qingxue.
Everyone quickly said it didn't matter.
Zhao Chen said, "Everyone is here. Let's start."
He motioned to Chen Xi to speak first.
Chen Xi Open the laptop and bring up a file:
"I have sorted through Yunnan Agriculture Group's information again in the past few days.
Their revenue in the first half of 2017 was RMB 780 million and net profit was RMB 110 million, and they are expected to achieve around RMB 170 million for the full year."
She paused. "But the problem is cash flow. In the first half of 2017, net operating cash flow was only more than 30 million yuan, a year-on-year decline of more than 60%.
Receivables are increasing, accounts payable are also increasing, Capital Chain is very tight."
Song Zhongping asked, "Then how long can they last?"
Chen Xi said, "According to the current consumption rate, it will take up to half a year."
Meeting Room was quiet for a second.
Zhang Qingxue pushed up his glasses. "That's why Mr. He is so anxious. When Chairman Zhao talked to him yesterday, he agreed without hesitation."
Chen Qiming flipped through the information in his hand. "390 million, 20% of the shares, giving up Voting Rights--this condition, Mr. Cheng will not lose.
Calculated based on last year's net profit, the price-to-earnings ratio is 11.5 times, lower than the industry average, but he got Lifeline Funds."
Song Zhongping leaned on the back of the chair. "Chairman Zhao, what do you think?"
Zhao Chen said, "Yunnan Agriculture has a good foundation. The breeding cost is second in the industry, the model is clear, and the team is stable.
What they lack is not technology, but money. If this money is invested, they can survive.
After surviving, it's time to pay back."
He looked at Chen Xi: "How long does it take to complete the adjustment?"
Chen Xi thought for a while, "About a week. Mainly to check their cash flow, receivables and payables, and hidden debts. If there is no problem with these, we can move forward."
Zhao Chen nodded and looked at Zhang Qingxue: "Where is Legal Document?"
Zhang Qingxue said, "Equity Transfer Agreement, Supplementary Terms of Waiver Voting Rights, Board of Directors Seat Arrangement--
I can draft the framework first and then refine it after the due diligence results are available. One week is enough."
Zhao Chen looked at Liu Mingyu: "Secretary Liu, Board of Directors, let me know.
There will be a meeting tomorrow morning, and the topic is Yunnan Agriculture Group Strategic Investment."
Liu Mingyu nodded. "Understood. I will send a notice in the afternoon."
Zhao Chen glanced around. "Any more questions?"
No one spoke.
He stood up and said, "That's it. The meeting is over."
After the meeting, Chen Xi and Zhang Qingxue followed Zhao Chen back to the office.
"Zhao Zong," Chen Xi said,
"Over there Yunnan Agriculture, I will take the team there after driving Board of Directors tomorrow. If the due diligence goes well, a report can be issued within a week."
Zhao Chen nodded. "Thank you for your hard work. I called you back just after the vacation started. I will go on a business trip as soon as I come back."
Chen Xi smiled, "It's okay. Doing this kind of project is more interesting than taking a vacation."
Zhang Qingxue said next to him, "Chairman Zhao, Legal Document's matter, I will wait until Chen Xi has preliminary results before finalizing it. Now let's put the framework together."
Zhao Chen said, "Okay. You two cooperate well."
Chen Xi stood up. "Then I'll go back and prepare first."
Zhang Qingxue also stood up. "I'm going to organize the file framework."
After the two left, Su Wantang came in with a cup of tea.
"Is everything arranged?" she asked.
Zhao Chen took the tea cup. "Yeah. Board of Directors will start tomorrow, and then Chen Xi will lead the team to do the due diligence."
Su Wantang sat down next to him. "Do you think Board of Directors will have a problem?"
Zhao Chen shook his head. "No. Everyone has discussed it before and knows what's going on."
Su Wantang leaned on his shoulder. "That's good."
Zhao Chen looked out the window. The sun was shining brightly, illuminating the whole city.
In a few days, Chen Xi's due diligence report will come out, Board of Directors will pass, and the funds will be in place - Yunnan Agriculture Group's investment will be considered successful.
He picked up the tea cup and took a sip.
Liu Mingyu acted quickly. At west o'clock in the afternoon, Board of Directors's notice was sent out.
Shen Jue was the first to reply, "Received." Sun Zhengping and Xu Yong also confirmed quickly.
Zhao Chen took a look at the reply list, everyone can get there.
He put down his phone and leaned back in his chair.
Tomorrow, it will be Board of Directors.
December 12, Tuesday, 9 a. m., Henglong Building Top Floor Conference Room.
Shen Jue arrived very early. She first went to Zhao Chen's office and explained the phone call that day to him in person.
For Shen Jue, if Zhao Chen hadn't smashed Bitcoin's market and she was helping others to find out information, it would have affected her relationship with Zhao Chen.
If it was Zhao Chen who destroyed Bitcoin, then Zhao Chen would not be someone she could mess with.
What reassured her was that Zhao Chen didn't mind the phone call and thanked her for her hint on the phone.
After that, Shen Jue went to Meeting Room first.
When Zhao Chen arrived, others had already taken their seats.
Shen Jue leaned on the back of the chair and flipped through his phone, Sun Zhengping and Xu Yong were chatting in a low voice, Song Zhongping was holding a tea cup, and Chen Qiming was looking at the information in his hand.
Liu Mingyu stood in front of the stage and cleared his throat:
"Dear directors, there is only one topic at today's meeting - the motion regarding Henglong Group Strategic Investment Yunnan Agriculture Group."
He distributed the information to everyone. "Yunnan Agriculture Group was established in 1999 and is mainly engaged in Live Pigs breeding and feed processing.
The net profit in 2016 was 169 million, and the net profit in the first half of 2017 was 110 million. The breeding cost is second in the industry, second only to Muyuan Shares.
The investment plan this time is: Henglong will invest 390 million, accounting for 20% of the shares.
Henglong invests in giving up Voting Rights, does not participate in operations, and does not interfere in decision-making.
Henglong assigns one financial officer Deputy Director, and retains one Board of Directors Seat."
Meeting Room was quiet for a few seconds.
Sun Zhengping flipped through the information. "Give up Voting Rights? Is this Financial Investment?"
Zhao Chen nodded. "Yes. I am optimistic about their team and let them do it on their own."
Xu Yong pushed up his glasses. "390 million, based on net profit, the price-to-earnings ratio is 11.5 times.
This price is much lower than the industry average. Is it acceptable to Cheng Jiaxun?"
Zhao Chen said, "They are Capital Chain nervous now. The money is Lifeline Funds, and he has no better choice."
Shen Jue spoke, "Zhao Chen, are you sure Yunnan Agriculture can survive it?"
Zhao Chen said, "Their foundation is good. As long as the funds are in place, they will be able to recover within half a year.
Within three years, this investment will at least double."
Shen Jue thought for a while and nodded, "Okay, I'm fine."
Sun Zhengping closed the document. "I have no objection either. But due diligence must be done, especially cash flow and hidden debt."
Zhao Chen said, "After Board of Directors is over, Chen Xi will lead the team to fly Yunnan, and a report will be issued within a week."
Sun Zhengping nodded. "That's good."
Xu Yong said, "I agree."
Song Zhongping and Chen Qiming also nodded.
Liu Mingyu glanced around. "The vote was passed unanimously. The resolution will be formed into a document as soon as possible and sent to everyone for confirmation."
He paused. "After the meeting, Due Diligence will be launched, and a formal agreement will be signed after the due diligence is completed."
Zhao Chen stood up. "Thank you for your trust. The meeting is dismissed."
This is the first step for Henglong to step out of its comfort zone. Countless shareholders are waiting for this day.
They want to see how Zhao Chen will lead Henglong to glory.