Reborn since 1993

Chapter 876 Thunder on the Ground

"The Chitu electric bicycle project is expected to be divided into two phases. In the first phase, Dongling Hi-Tech will invest 550 million yuan to build factories, develop products, and purchase equipment.

The remaining funds will be used in the future second phase of the project to expand production capacity and promote products.

It is estimated that the entire Chitu electric bicycle project can provide more than 4,700 jobs. Once the two phases of the project are completed, the annual production of electric vehicles is expected to reach up to 3.5 million units!"

Hu Zixian said to everyone in the conference room that although it was advertised to the outside world that the Chitu electric bicycle project would cost 1 billion RMB.

But Dongling Hi-Tech cannot just spend all its money at once. It's like making a movie, hiring actors to shoot the movie, and spending money on special effects post-production, etc.

But after the film is completed, promotion and distribution will also require a larger amount of money. For Hollywood special effects blockbusters, the publicity and distribution costs are sometimes even on par with the film production costs. The box office of Nezha, which exceeded 10 billion yuan, cost 500 million yuan, and the publicity and distribution costs exceeded 300 million yuan!
For Chitu electric bicycles, they are still in the early stages of development. They need to advertise, set up sales channels and after-sales repair shops. Even the cost of these may not be less than the cost of research and development and production of the bicycles!

Of course, when it comes to external publicity, the Chitu electric bicycle must have cost 1 billion RMB, so it’s worth bragging about it.

This is not to fool Quancheng or anything like that, it is also a form of publicity, just like when users watch a movie and hear that a movie has cost hundreds of millions of dollars to produce and promote, they will want to go in and take a look and taste the flavor of the movie.

Although there are some disappointments at times, and after more than an hour, it feels like you've watched a bunch of crap, but it does make people who hear it for the first time feel that this movie seems to be quite good.

The same can be applied to electric bicycles. If users hear that this bicycle was developed at a cost of 1 billion RMB, the feeling they get when looking at the bicycle will immediately change, and it will instantly feel upscale and classy!

Selling a brand is about selling prestige. For the same product, the one that makes users feel higher emotional value will definitely sell better.

The current central urban area of ​​Quancheng is Lixia District, and Licheng District still belongs to the suburbs of Quancheng.

The reason why the Chitu electric bicycle project chose to locate its headquarters in Licheng District is that in addition to considering the current land prices, it also has to consider future development.

Now Licheng District is the direction of expansion of Quancheng urban area, and it is the area with the greatest hope of becoming the main urban area in the future. By then, the land under the Chitu electric bicycles will also be able to increase in price.

In addition to considering the present, in the future, Chitu electric bicycles will also need to provide supporting residential areas for employees. By then, when the hospitals, schools, shopping malls and other facilities in Licheng District are fully equipped, the lives of Chitu electric bicycle employees will be more convenient, and housing prices will also increase.

It is unreasonable to let them work hard for more than ten years in Chitu Electric Bicycle, but they can't even afford a house in Quancheng...

Upon hearing that Dongling Hi-Tech wanted land for Chitu electric bicycles, Yao Zhengru looked towards Peng Huaizhi.

Quancheng Urban Investment will definitely invest in the Chitu electric bicycle project, and regard it as the first shot after the establishment of Quancheng Urban Investment!

"For the land needed by Chitu Electric Bicycle, Quancheng City Investment can purchase it at a price of 10 yuan per acre. We can add million in cash to these lands and invest in Chitu Electric Bicycle in exchange for % of the equity!"

Yao Zhengru said that Quancheng Urban Investment was responsible for acquiring the land needed for Chitu Electric Bicycle, and adding 10 million in cash in exchange for % of the equity, which was equivalent to a valuation of billion yuan for Chitu Electric Bicycle.

After hearing the price offered by Yao Zhengru on behalf of Quancheng City Government, Yue Honggao and Xiang Yuan could no longer hold back.

“Qilu State Investment is willing to invest 20 million RMB in the Chitu electric bicycle project in exchange for % equity!”

Yue Honggao said that after hearing the offer, before Dongling Hi-Tech could respond, Xiang Yuan, who had just been in the same camp with Yue Honggao, glared at Yue Honggao, feeling that this guy was too ungrateful!

Is a project that has not yet started and has not produced a single electric bicycle really worth 1 billion RMB? If it is any other brand, Xiang Yuan and Yue Honggao will have to consider the probability of being set up.

But if it is Dongling Hi-Tech, the situation will be different. Even if the Chitu electric bicycle project is just a PPT project, they are still willing to gamble!
They even resorted to violent fighting in order to get the opportunity to invest in Dongling Hi-Tech!

"Old Yue, we are the hospitable Qi and Lu, but the way you eat is too rude!" Xiang Yuan said to Yue Honggao in a sarcastic tone.

But Yue Honggao didn't care about Xiang Yuan's yin and yang at all. A project comparable to Hanxi Torch Group was almost a once-in-a-lifetime opportunity for Qilu Guotou. If he missed this opportunity, it would be impossible to find another one. How could Yue Honggao be willing to give up this opportunity to make Qilu Guotou famous?

Speaking of which, after letting that old guy Wu Yaoguo enjoy so much glory for so many years, it is now Yue Honggao's turn. The Chitu electric bicycle is the famous product of Qilu Guotou. How could Yue Honggao give up?
"Brother Xiang, if Qilu State-owned Assets has financial difficulties, Qilu State-owned Investment can invest in Chitu Electric Bicycles on behalf of Qilu State-owned Assets first, and then transfer the equity to Qilu State-owned Assets later!"

When Xiang Yuan heard Bilian's words, he couldn't help but stare at the other person with wide eyes. How could a person be so shameless?

What does it mean to invest in Chitu on behalf of Qilu State-owned Assets and then return this part of the equity to Qilu State-owned Assets? Is this something Carbon-based Bio can say?
If the equity of Chitu electric bicycles really falls into the hands of Qilu State-owned Investment, and they can spit it out and give it to Qilu State-owned Assets, then that would be fucking weird!

It is true that the Chitu electric bicycle project is still a PPT now, but as long as the trial production is successful and mass production begins, and electric bicycles become popular in China, Chitu’s valuation will start to soar!
By then, it would be possible to list on the A-share or Hong Kong stock markets, or even in the Americas. If Yue Honggao could return the equity of such a company to him, Xiang Yuan might as well believe that someone can climb a tree!

"Manager Yue, you are too overbearing. Do you think Qilu is your territory? Are you going to take away the controlling stake of Chitu Electric Bicycle?"

"you!"

Hearing Xiang Yuan's murderous and divisive words, Yue Honggao sneered at Li Dongling and glared at Xiang Yuan.

Peng Huaizhi, who was sitting in the conference room, watched in amazement as the two men, known as the two great gods of wealth in Qi and Lu, engaged in a verbal battle over giving money to a company. This made Peng Huaizhi feel that his three views had been overturned.

It is said that in Qilu in the past, whether it was Quancheng or other cities, whether it was the municipal government or the industrial and commercial departments, or the local companies in Qilu, everyone was begging Yue Honggao and Xiang Yuan, hoping that they would invest.

As a result, it is difficult to even meet with them, and expecting them to invest money or cooperate on a project requires a lot of persuasion.

But now, Qilu State-owned Investment and Qilu State-owned Assets are actually rushing to invest money in a PPT company, which makes Peng Huaizhi feel mixed emotions.

"Director Xiang, Manager Yue!"

Seeing Xiang Yuan and Yue Honggao still arguing with each other, the director of the Qilu Provincial Government Office who was sitting there could no longer hold back.

He felt not much better than Peng Huaizhi. In the past, when the Qilu Provincial Government wanted these two families to make generous donations, they always complained and made excuses. But now they stopped crying poor.

"How much investment the Chitu electric bicycle project is willing to accept from Qilu State-owned Assets and Qilu State Investment still depends on Dongling Hi-Tech's willingness!"

Li Dongling whispered to Hu Zixian for a few words, and then said, "For Chitu Electric Bicycle, we can give Qilu State-owned Assets and Qilu State Investment the same treatment as Quancheng City Investment, and transfer 10% of the equity to each side!"

Giving away 30% of the equity is equivalent to raising million yuan in funds. Dongling Hi-Tech's automotive department is still the largest shareholder of Chitu electric bicycles.

With investments from Quancheng Urban Investment, Qilu State-owned Assets, and Qilu State Investment, the entire Qilu electric bicycle market will basically belong to Chitu in the future.

Together with Hanxi, the base of Dongling Hi-Tech, Chitu now has a basic base of users in two provinces. It is impossible for other electric bicycle brands to challenge Chitu in these two regions. They will just be throwing away their heads!
"Director Gu, the National Electric Bicycle Association also has a project to build an electric bicycle charging port company. I hope the Economic and Trade Commission can coordinate!"

Li Dongling looked at Gu Xiguang. On the one hand, the research and development and production of Chitu electric bicycles are one thing, and on the other hand, policies, supporting facilities and other aspects also need to be prepared.

"Chitu electric bicycles will be one of the key projects of the Economic and Trade Commission this year. The Transportation Bureau and other departments, the Economic and Trade Commission will coordinate, and the Development Bank will provide necessary support for Chitu electric bicycles!"

Gu Xiguang said that if supporting Chitu electric bicycles can support a new industry, then for the Economic and Trade Commission, it will be a Torch Group-style company and will also become a new "model" for the Economic and Trade Commission!
In the evening in Qilu, thousands of households in Qilu are cooking and eating, and countless TV stations are broadcasting the Qilu evening news.

After reporting a piece of news, the host of Qilu TV looked down at the manuscript, and then emphasized his tone, "The latest news from our station is that today, the Qilu Provincial Government, Quancheng Municipal Government and Chitu Electric Bicycle Company officially signed an agreement. Chitu Electric Bicycle will officially settle in Licheng District of Quancheng, with a total investment of 1 billion RMB!

Yao Zhengru, the secretary of the Quanzhou City Government, delivered an important speech, declaring that he would build the national electric bicycle capital..."

(End of this chapter)