Starting out as a drug dealer in 1988

Chapter 465 Preparations before listing

After all four parties reviewed the draft and found no problems, the matter was temporarily implemented.

Of course, if a company really goes back on its word before the agreement is officially signed, there is naturally no problem.

After all, this is just an agreement of intent, not a legally binding contract.

However, after so many setbacks, I believe everyone cherishes the draft that was finally finalized and will not easily regret it.

Therefore, the four parties agreed to hold a press conference a week later to announce the matter to the media.

Since the matter had been finalized, the subsequent communication was not as tense and the atmosphere became more relaxed.

Everyone sat in the conference room, chatting casually, as if the tense atmosphere just now had never existed.

"Mr. Zhao, when do you plan to start the listing plan?"

Song Weixuan lay on the sofa, crossed his legs, and completely relaxed.

His eyes fell on Zhao Wenhao, revealing a hint of anticipation and curiosity.

Obviously, he had been thinking about this question for a long time and couldn't wait to get the answer.

Zhao Wenhao did not answer the question immediately, but asked: "What are your opinions?"

His voice was calm and firm, revealing confidence and composure.

He knew that this issue concerned the interests of all parties, and that some of those present had extensive experience in this area, so he needed to listen to other people's views and suggestions.

Only in this way can we formulate the most reasonable and feasible plan.

"Of course we hope that Hengyuan Electronics can start the plan earlier. Especially this year's stock market is quite hot. If Hengyuan Electronics can go public earlier, maybe we can reap some dividends." Song Weixuan answered first.

His words were full of anticipation and enthusiasm, as if he saw the unlimited potential of Hengyuan Electronics in the stock market.

He believes that with the current market enthusiasm, once Hengyuan Electronics goes public, it will surely attract the attention of a large number of investors and thus generate considerable profits.

Citigroup's Wells, however, sees it differently.

He said calmly: "That's not necessarily true. The Hong Kong stock market is indeed very hot at the moment, but all financial investors don't have a clear timeline for how long this situation will last.

"Even if Hengyuan Electronics starts its IPO process right away, it will take at least three months. It's unclear whether the stock market will still be as expected after three months."

Wells's views appear more rational and cautious.

He believes that although the current stock market is booming, future trends are difficult to predict.

If Hengyuan Electronics goes public in a hurry, it may face risks brought by market fluctuations.

Therefore, he recommends a deeper study and evaluation of time to market.

Doug on the side remained silent and did not express his opinion.

This made everyone present feel a little strange, and everyone couldn't help but look at him, waiting for his speech.

"What does Mr. Doug think?" Zhao Wenhao looked at Doug curiously, wanting to hear his thoughts.

He knew that Doug, as a representative of Goldman Sachs, had extensive experience and deep expertise.

Perhaps he has some unique insights that can provide new ideas and directions for this discussion.

Doug thought for a moment, then said silently, "Our technical analysts, after a series of analyses, have determined that this stock market rally will continue for a certain period of time. However, no company dares to make a judgment on the specific time point."

Zhao Wenhao laughed and thought to himself, you all don’t dare to make judgments easily, but I do.

As long as his butterfly effect does not ferment, this round of stock market rise will continue until July next year.

Why is Zhao Wenhao so eager to raise the second round of financing now? He could have waited until the chain store construction reached a new level and the nationwide deployment was complete.

At that time, the company's performance will inevitably take a big step forward.

At that time, the company's valuation will reach a new height, which is definitely not comparable to the current 150 billion yuan or 160 billion yuan.

It is because Zhao Wenhao wants to seize this opportunity to reap the benefits.

If we start preparing for the listing now, then with the help of Goldman Sachs, Citibank and Meifeng Group, we can definitely schedule it in three months of preparation.

Even if there are any mistakes in the middle, it can be completed in four months at the latest.

Based on this calculation, Hengyuan Electronics will be able to be listed on Hong Kong Island before October this year.

According to the current market conditions of the Hong Kong stock market, and with the help of these companies to support the bottom, Hengyuan Electronics' stock price will definitely soar.

As a major shareholder of the company, you cannot sell your shares within six months.

And Zhao Wenhao hopes to get stuck at such a time point.

Before the Southeast Asian financial crisis began, he could have reduced his holdings and sold off part of his shares to cash in.

Then buy again when the stock market is at its lowest.

With this kind of transactions, Zhao Wenhao can definitely make a fortune.

"Everyone, I intend to start the preparations for listing immediately."

Zhao Wenhao made a decision quickly without consulting other people.

"Oh? So fast?"

Others were quite surprised. They thought that it was too fast to start preparing for the IPO after just completing the second round of financing and not even signing the final agreement.

"Haha, isn't it good for all shareholders if the company goes public as soon as possible?" Zhao Wenhao ignored the others' surprised looks. "You all are experts when it comes to listing in Hong Kong. I'd like to know what we need to prepare for."

Seeing that Zhao Wenhao had already made the decision, Song Weixuan and others naturally would not try to persuade him.

As Zhao Wenhao said, it would be a good thing for investors like them if Hengyuan Electronics were to go public as soon as possible.

Since that was the case, they were eager for Zhao Wenhao to start making arrangements immediately.

Song Weixuan immediately took over the topic: "If a mainland company wants to go public in Hong Kong, it must first meet several conditions.

First, the company must have sustained profitability. You will need to provide financial reports from the past three years, showing that the company's annual net profit must be positive and exceed HK$5000 million during these three years.

Or indicators such as cash flow, revenue, market value, etc. meet certain requirements.

Your company is fully satisfied with this, so there is no need to worry;

Second, the corporate governance structure and management requirements need to remain stable;

Third, market capitalization and equity structure requirements. Your company needs to meet the minimum market capitalization requirements to ensure the health and stability of the market.

At the same time, the equity structure needs to be clear and reasonable to ensure the rights and interests of investors;

Fourth, information disclosure and approval procedures: your company needs to prepare a detailed prospectus, which must be reviewed and approved by the Hong Kong Securities and Futures Commission;

Of course, there are some other regulations, which I will not elaborate on here.

If Mr. Zhao really intends to start preparing for the listing in the near future, then our companies can fully mobilize capable personnel to help you.

We have experience in these areas and know what can and cannot be done.

Especially for some matters of attention, we will have unique insights.”

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