Chapter 21: Establishing The Factory
In the tea room, Fan Ren unconsciously sipped his tea while his mind kept pondering nonstop.
Yun Yin’s suggestion was undeniably tempting to him.
Through this ‘Price Increase’ incident, Fan Ren was very clear that during the period before Xinghai truly grew big and strong, this kind of shitty matter would be encountered from time to time.
This was one of the difficulties in running a real industry.
However, Xinghai itself also had its own demand, whether it was the current Wireless Charging Technology, or the subsequent series of demands, Xinghai would inevitably have to frequently deal with Manufacturing in the future.
But now with such an opportunity right in front of him, he hesitated.
The incident that happened to Yun Yin was also a warning to him.
After a long time, Fan Ren spoke.
“To be honest, your proposal has moved me.”
“But?”
Yun Yin’s heart trembled; this way of speaking obviously had a follow-up waiting for her.
Fan Ren nodded, thought for a moment, and then said: “If it’s convenient, can you roughly talk about your expectations for the factory, as well as Development Direction?”
Seeing there was a chance, Yun Yin hurriedly nodded and began to express her thoughts.
“I expect the shares in my hand to be cashed out for around 500 million, since Yun Kang is after all just a medium-sized Processing Plant. But rest assured, I will invest all this money into the new factory.
Of course, if there is sufficient Funding Support, I hope to establish a modern, semi-automatic Production Manufacturing Processing Plant. You should know Yun Kang’s situation; the Equipment is too outdated.
Originally, I planned to slowly improve these problems using this Revenue after cooperating with Xinghai. Unfortunately…
I think General Manager Fan should know how great the advantages are of an Intelligent Factory compared to factories using traditional Production methods nowadays, right?”
Fan Ren nodded to indicate to continue.
Yun Yin was not afraid that Fan Ren would find her long-winded and continued to state her thoughts one by one.
Regarding Yun Kang’s current situation, although she wanted to change it, the Shareholders would not allow her to act recklessly.
In addition, after being sidelined this time, although relying on her 39% Shares, she could still gradually regain the Right to Speak through her abilities.
But facing a group of uncles who only wanted to stand on the merit list and suck blood, she often felt a sense of powerlessness.
Moreover, improving Equipment required a large amount of Funds, and just this point alone was hard for these Shareholders to accept.
This led to her plan to set up her own separate operation.
For the new factory, Yun Yin planned to adopt an automated Intelligent Production model from the very beginning of its founding.
Not only that, compared to traditional factories, modern Intelligent Factories have significant differences in Technology application, Production Efficiency, flexibility, and environmental impact.
Unlike traditional manually produced factories, modern Intelligent Factories have huge superiority in Data Collection and analysis, Mass control, and so on.
These views were consistent with Fan Ren’s.
But ideas are good, while Reality is that nowadays, due to the high Cost of High Technology Technology and even lower labor costs, most factories still choose traditional manual-based Production Manufacturing methods.
Currently, the few Intelligent Factories around the world are basically established by major enterprises in various application Domains using their own Funds.
In the Investment field, this type of high Funds, low Profit Intelligent Factory is not favored by investors.
If she didn’t clearly know that the currently popular High-voltage Wireless Charging Technology on the market belonged to the man in front of her, and thus he had a huge amount of Funds in hand.
Plus coincidentally encountering Yun Kang’s Price Increase matter, Yun Yin wouldn’t have had this intention.
But now it’s different; the other party is from a Technology background, so he must have common language with her on factory modernization.
This led to today’s scene.
Fan Ren deeply agreed with Yun Yin’s these thoughts, but he was still somewhat hesitant on the Cooperation method.
After some careful consideration, he immediately proposed: “I basically agree with what you said, and to tell you the truth, in fact, Xinghai has plans in this regard in the near future.”
Hearing this, Yun Yin’s face immediately lit up; after all, he was young and from a Technology background, truly seeing eye to eye with her.
Fan Ren didn’t beat around the bush: “Xinghai can invest, and the Investment amount won’t be small; you’ll suffer a loss on Shareholding, and I have a very clear requirement!”
“Say it!” Yun Yin nodded repeatedly; on Shareholding matters, whoever puts in more money has the say.
“I think you should know that Xinghai is not a Listed Company. For the cooperative factory, in the foreseeable future, unless certain force majeure factors arise, I still do not plan to go the Listing route.”
After Fan Ren finished speaking, Yun Yin became puzzled.
She hadn’t considered the issue of Listing or not; setting aside the benefits of Listing, if not Listing, where would the money come from?
Xinghai certainly had money in hand, but the man in front of her wouldn’t possibly throw dozens of billions into this, right?
With the backing of a company like Xinghai that owns well-known Patents, Listing a Manufacturing Plant shouldn’t be difficult; she approached Fan Ren precisely because this factor was considered.
Fan Ren’s gaze was firm as he said: “2 billion! Xinghai invests 2 billion for 80% Shareholding, you take the remaining 20%, but rest assured, based on this Solution being your proposal, and your previous actions at Yun Kang, Xinghai will not interfere in Company Operation; you’ll be fully in charge.”
Yun Yin’s mouth formed an O shape.
She never expected that this young man in front of her had such boldness.
2 billion, that’s it!
He actually made such a huge Investment in a factory model whose Profitability wasn’t favored.
Yun Yin could roughly calculate from several major companies’ announcements that Xinghai had about over 3 billion Funds in hand.
But she never imagined that this man had no reluctance towards this money and was willing to use it for a new round of Investment.
Moreover, he didn’t seem to propose any excessive requirements.
According to Fan Ren’s meaning, with Xinghai holding 80% Shares in the new factory and her only 20%, she could still have the factory’s operational rights.
Yun Yin shook her head; was she dreaming?
What she didn’t know was that Yun Yin’s appearance and proposal precisely matched Fan Ren’s plans for Xinghai in the near future.
Now that they had met, Fan Ren wouldn’t let this opportunity slip. After all, the woman in front of him had been particularly familiar with Manufacturing Plants since childhood under her Father’s influence.
Furthermore, for the current Production of Wireless Charging Equipment, if Xinghai had its own factory, why would it be threatened by Yun Kang’s Price Increase.
Just this Cooperation alone would cost Xinghai around 200 million in losses, and this was merely the Production demand from Orders Xinghai had negotiated during this period.
He could even foresee that after this batch of Production was completed, Yun Kang would definitely raise prices again.
Rather than being disgusted again later, better to plan early.
Moreover, Wireless Charging Technology had always been a transitional choice for him.
Once this was more or less done, Fan Ren would start advancing into the Battery Domain.
It must be known that was a mature and extremely huge Market.
Imagine, compared to the Safety issues of liquid batteries, slower charge-discharge Speed, and Battery capacity, etc., Solid-State Battery has huge advantages.
Once it comes out, Xinghai will no longer be troubled by Funds issues.
And at that time, it would be the moment when Xinghai truly sets sail.
