It is very hot in Wang Licheng recently. On March 5th, Wang Licheng ranked first in the "200 1 China Businessmen" selected by the Chinese edition of Fortune, surpassing Zhang Ruimin, CEO of Haier Group. He said that "it is only a coincidence that others are better than me". Of course, "this also shows that we should dare to challenge." This coincidence and challenge is that he recently formally acquired the CDMA mobile communication department of Philips Group in San Jose, USA (including R&D branches in Dallas, USA and Vancouver, Canada), and obtained all intellectual property rights (IP) of Philips in CDMA wireless communication, R&D achievements, R&D equipment, R&D tools and a large number of experienced R&D personnel. On this basis, Huali Communication Group Co., Ltd. was established. With the strategic partnership with Philips Semiconductor, we focus on the design and development of mobile phone chip software and complete technical solutions, and directly face the China market through Zhejiang Huali Communication Technology Co., Ltd., providing core chips and complete technical solutions for mobile phone manufacturers in China and around the world.
Wang Licheng's work in Huali Group is very low-key, and some people even describe him as "Snow Storage 15". In fact, it is not difficult to find the figure of A-share listed companies by opening the structural diagram of Huali Group. "I also thought about IPO, but as a private enterprise, I can't always turn around." As a result, Wang Licheng "caught fire", acquired A-share listed companies and embarked on the curve listing road.
Holding two A-share listed companies: Huali Group, which started with bamboo products and umbrellas, has been the largest electric energy meter manufacturer in China for many years. In recent years, in addition to actively participating in Hangzhou real estate development, it has also launched a series of capital acquisition actions at home and abroad; In China, Huali acquired ST Chuanyi and ST Hengtai, and Huali Holdings (000607) and Huali Technology (600097) were born. In the United States, Huali acquired Pacific Systems Control Technology (PFSY), a Nasdaq-listed company. In 200 1 year, Huali Group's operating income was 2.8 billion, profits and taxes were 400 million and profits were 260 million.
For two shell-buying listed companies in China, Wang Licheng successfully cleaned their shells through his own lobbying. Especially in the acquisition case of "ST Chuanyi" negotiated by 1998, Huali has created a record of "all debt divestiture, all assets replacement and all personnel retirement", which is the cleanest divestiture case in the acquisition of listed companies so far. At that time, he told the Chongqing municipal government that if you were willing to divest and replace, the state-owned assets would double, and the listed companies would stay in Chongqing and not move away. This is the first time that Huali has entered the China capital market. At that time, Huali was transferred to Chongqing Chuanyi (now Huali Holdings) and became the relative controlling shareholder of Chongqing Chuanyi among the 70.78 million shares held by China Silian Instrument Group Co., Ltd. (accounting for 2,965,438+0% of the total share capital). ..
After three years of development, "Huali Holdings" has achieved remarkable business performance and secondary market performance. With the consent of all shareholders, the shareholders' meeting decided that the main business of Huali Holdings in the future will be broad-spectrum antiviral drugs mainly based on artemisinin series products. Now, regarding the development of artemisinin series products, Huali Holdings has formulated the industrial planning of enterprises according to the principle of "industrial integration", and through capital operation, it has acquired, merged, combined, expanded and built similar enterprises and "upstream and downstream" enterprises, forming a complete "industrial chain" with capital as the link, entering the harvest period and forming the "core competitiveness" of Huali Holdings.
In May 2000, Huali began to reorganize ST Hengtai. In September, it acquired 33 million legal person shares of Hainan Hengtai at the transfer price of 1. 10 yuan per share, becoming its largest shareholder. Wang Licheng described Hainan Hengtai as a "bad company". When he bought ST Hengtai, he said to Hainan people: "I moved the listed company, but most of my assets stayed in Hainan." Wang Licheng set up an agricultural company to stay in Hainan and let it bear most of the debts. After the acquisition of Hengtai, Huali moved its registered place to Hangzhou, where Huali made his fortune.
The reorganization of Hengtai is much more difficult than that of Chuanyi, which Huali did not expect at first. "I don't know how deep the water is. In the face of ST Hengtai's heavy debts of more than 500 million at that time and various complicated relationships, all debts of Hengtai were seized by more than three banks, and it felt dragged in for a while. I tried to quit several times, but I was afraid that Huali's reputation would be affected. In the end, I had no choice but to bite the bullet and go on. Used before and after 18 months. Wang Licheng emphasized that "we must think of each other".
Through renaming and relocation, Huali Technology will be reborn from ST Hengtai, positioned in power system automation, and will gradually expand to the automation system of petrochemical industry in the future, making it an excellent company again.
The first step for Huali Technology to enter power automation is to acquire Zhejiang University Medium Range Computer Company. Although it was still a concept at that time, many advanced technologies had not been transformed into products, but it broke through a technical platform. Many teachers of Zhejiang University's mid-range computer company are now the backbone of Huali Technology. The second step is to acquire Beijing Caster Company with the background of Larsen Group, a famous power automation technology in North America. Although Beijing Castel is small in scale, it has many customers in China and many successful project achievements. The most important thing is to build a technical platform. This step can be said to have a far-reaching impact on the long-term development of Huali Technology. 200 1 annual net profit12.23 million yuan, net profit per share 0. 1 yuan. The tangible performance once again proved the success of Huali Group's cross-regional reorganization of ST Hengtai.
Engage in capital operation in the spirit of manufacturing: Huali has not only set its eyes on China, but has now reached out to the Nasdaq market in the United States. In the first half of last year, through its holding company, Huali Holdings (USA) Co., Ltd., Huali acquired two companies listed on Nasdaq-PFSY and PACT.
More influential than that is the acquisition of CDMA by Huali Group from Philips. In Wang Licheng's words, go to developed countries to find what we want-core technology and advanced talents; Go to underdeveloped countries and give all of us-products and services with core advantages of Huali.
In the acquisition of the above two A-share listed companies, it is not difficult to find Guangdong Securities and Huatai Securities. Therefore, Wang Licheng has become familiar with borrowing capital. Some people think that Wang Licheng is a master of capital operation, but he said that compared with those masters and predators of capital operation, these operations of Huali are insignificant. "The only difference is that we do things with the spirit of manufacturing."
Huali's capital management has always been combined with industrial expansion, and financial capital and industrial capital have developed simultaneously-Huali Holdings will focus on biopharmaceuticals in the future; Huali Technology will fully develop the power automation business, and listed industrial companies will resolutely take the road of professional development. Huali has 32 years of manufacturing experience and its unique corporate culture and spirit. Huali hopes to quickly integrate industrial resources and form a starting point and platform through capital operation methods such as acquisition, merger and reorganization, but just doing these does not mean anything. After entering a new starting point and platform, Huali hopes to carry out another round of integration in its own way.