1977: The beginning of the blind date with the daughter of the king

Chapter 583 Another two hundred million dollars!

With the consent of Mr. Liao and Director Lu, China Resources' entry into the company was basically a done deal. After all, the identities of these two people were enough to decide many things.

"By the way, Mr. Lu, I'm here just in time. I have something else I want to talk to you about."

"I want to invest in a pharmaceutical factory in China. I wonder if our pharmaceutical industry is now liberalized?"

At this time, Li Changhe told Director Lu about his other intention.

"Pharmaceutical factory?"

"You're also involved in medicine?"

Director Lu looked at Li Changhe with some surprise.

Does this guy have such a wide range of industries?

"The pharmaceutical industry under Hong Kong Land is actually average. I am interested in the pharmaceutical capabilities of the United States. However, in the initial stage, I am considering mainly producing injections and medical consumables."

"I have previously published a novel called "Selling Blood", which is about the relationship between medical devices and hepatitis B transmission. This is information I saw abroad, and I had an idea in my mind, so I came back and wrote it."

"Just like disposable syringes, they are now used repeatedly in many places."

"The repeated use of such syringes can easily lead to the spread of infectious diseases, not just hepatitis B, but also many other infectious diseases."

"The reason for the shortage of syringes is that our current production capacity is insufficient and we cannot meet the domestic demand for syringes."

"To put it more fundamentally, our chemical production capacity is insufficient and there is not enough polypropylene material, which leads to the shortage of this downstream product."

"It just so happens that I have reached an agreement with the Rockefeller family in the United States to set up an oil refining group in Singapore. I will then focus on the Asian market. This way, I will have enough raw materials in my hands."

"In addition, I think we can also introduce a lot of medical equipment and technology from the United States through this company to improve the domestic medical level."

"But I don't know whether the country has relaxed its control over the pharmaceutical industry."

Li Changhe said seriously at this time.

Although the reform and opening up had begun, Li Changhe knew that some industries in the country were also gradually opened up. He really didn't know the pace of liberalization in the pharmaceutical industry.

Director Lu is now in charge of foreign investment review and he knows the inside story of whether this industry will be liberalized or not, so Li Changhe took the opportunity to ask Director Lu about it.

Hearing Li Changhe's words, Director Lu smiled and nodded: "It's really a coincidence that you asked this question."

“The pharmaceutical industry can really do it now.”

"The pharmaceutical group has established a pharmaceutical investment company and has just reached a cooperation agreement with Otsuka Pharmaceutical Co., Ltd. in Japan to set up a pharmaceutical company in Tianjin, with each party holding 50% of the shares."

“So the investment in the pharmaceutical factory is acceptable.”

"But there is a problem. The funds of the Chinese Medicine Group are limited. It does not have the ability to reach cooperation with two pharmaceutical companies at the same time. So your investment will probably have to be postponed!"

Director Lu spoke seriously to Li Changhe at this time.

"Mr. Lu, what if I don't cooperate with the Chinese Medicine Group, but with our Beijing Medical Department?"

"For example, if our Beijing medical department sets up an investment company, and then we cooperate and each holds 50% of the shares, do you think this idea is feasible?"

Li Changhe asked softly at this time.

After listening to this, Director Lu was stunned for a moment, and then he said thoughtfully: "In theory, it is feasible, but the premise is that Beijing must be willing to cooperate with you. If this matter is brought up, they will inevitably have to compete with the Chinese Medicine Group."

"The most important thing is your sales channels will probably be in trouble in the future."

It is certainly possible for Li Changhe to cooperate with Beijing alone, but there is no doubt that this will definitely arouse opposition from the Chinese Medicine Group.

After all, these days, the sales of many pharmaceutical products still rely on administrative orders, and as one of the cities with the highest concentration of hospitals and population, it is no exaggeration to say that Beijing is a big market for pharmaceutical companies.

The two joint ventures, one in Tianjin and the other in Beijing, are so close to each other that there is no doubt that they will beat each other to a pulp.

"I think that when we open up the market, in addition to introducing technology, we also need to foster talent competition. We can't just rely on government directives for everything. I think competition is actually good."

"Foreign pharmaceutical groups have been able to grow step by step and work hard on research and development, relying on competition. We can't just say that if there are two pharmaceutical factories next to each other, then we won't do it. This kind of monopolistic thinking is not good."

"Besides, in addition to the two major cities, there are also Hebei Province, Shandong Province, Central China and other places around Beijing and Tianjin, with a total population of hundreds of millions. Such a population base is simply not something that a pharmaceutical factory can supply."

“I think it’s good to have competition.”

Li Changhe said nonchalantly.

"You're thinking very nicely. Hebei Province has Huabei Pharmaceutical and Shandong Province has Xinhua Pharmaceutical. Do you still want to compete?"

"But there's nothing wrong with your idea. I'll talk to the Chinese Medicine Group first."

Director Lu is now in charge of the introduction and review of foreign investment, so naturally he has to communicate with various departments and act as a middleman.

"It's okay to have competition. The Chinese Medicine Group introduced technology from Japan, and Comrade Changhe will introduce technology from the United States. For us, of course, the more technology the better."

"I think his suggestion of setting up a pharmaceutical investment company in Beijing is a good one. We can give it a try!"

"But Comrade Changhe, can I give you a suggestion?"

At this time, Mr. Liao looked at Li Changhe with a smile and said gently.

"Mr. Liao, please tell me!"

"If you have extra funds, how about investing in building a hotel?"

"There are very few hotels in China that can serve foreigners, and there are many foreign tourists every year. Lao Lu and I are responsible for introducing a number of high-level foreign-related hotels to China."

"I remember that the Hong Kong Land you acquired also has a high-end hotel called the Mandarin Hotel."

"Then why don't you build another foreign-related hotel in Beijing?"

Mr. Liao said with a smile.

Director Lu heard this and then reacted.

Yes, how could he have forgotten this?

At present, he and Mr. Liao are also responsible for introducing foreign-funded hotels.

The Jianguo Hotel was negotiated through their office.

"A foreign-related hotel? Of course no problem!" Li Changhe agreed without hesitation after hearing what Mr. Liao said.

It only costs a few dollars to build a hotel.

At this time, Mr. Liao seemed to see through Li Changhe's thoughts, and then continued with a smile: "Comrade Changhe, don't worry, I haven't finished yet. Our current foreign-related hotel has conditions."

"Take Jianguo Hotel for example. We hold 51 percent of the shares, and foreign investors hold 49 percent. The joint venture period is 10 years."

"Ten years later, the other party will sell their shares to us for one dollar."

"So even though you invested in the hotel, the final ownership still belongs to us. You have to think about this carefully!"

After listening to this, Li Changhe smiled and shook his head: "I thought you were going to say some conditions, but this is it!"

"No problem, I can also follow the terms of the Jianguo Hotel, it's nothing!"

He donated hundreds of millions of dollars to the country, so what is a restaurant?

"The standard for a hotel is no less than 2000 million US dollars, and the funds here in China need to be borrowed. The funds for the Jianguo Hotel were loaned to us by HSBC."

At this time, Mr. Liao reminded again, meaning that the minimum standard must be the same as that of the Jianguo Hotel, and the investment cannot be less than 20 million US dollars.

"If this is the standard, I think I can invest in one in Beijing and one in Shanghai, and the investment amount will not be lower than the standard of Jianguo Hotel."

"As for our bank loan, I can lobby Standard Chartered to pay for it."

Li Changhe said nonchalantly.

"Look, I knew this guy was rich!"

Seeing Li Changhe's relaxed look, Mr. Liao knew that this amount of money was nothing to him, so he agreed immediately.

"Well, I've found a reason for you to do this. In July this year, the Zhaolong Hotel, which was funded by Mr. Bao Yugang, will start construction. We plan to invite Bao Yugang and his family to Beijing at that time. I think you can come with us openly at that time."

"Then take this opportunity to settle the restaurant matter and discuss your pharmaceutical factory issue. What do you think?"

"In that case, I may need to prepare more funds. Prime Ministers, if we have other projects, we can discuss them together then."

"I can bring a team over then, and we can take this opportunity to cooperate more!"

Li Changhe thought about it and felt that he could take advantage of the opportunity provided by Mr. Liao to invest in more projects.

"Oh? You still have some funds left?"

"How much funding can you provide?"

Mr. Liao felt that he seemed to have underestimated Li Changhe's cash flow. This guy has given so many dollars to the country, and now he wants to provide a large investment?
How much money does he have?
"Comrade Changhe, I understand your patriotic enthusiasm, but when operating a company overseas, although you can borrow money from banks, you also have to consider the issue of circulating funds and debt ratio."

"Don't rush it, we can take it slow!"

At this time, Director Lu tactfully reminded Li Changhe.

He guessed that Li Changhe might raise money through company loans. After all, Li Changhe had successively acquired land, provided large sums of funds to the country, and cooperated with Rockefeller in the United States to build a petrochemical enterprise.

Then we have to invest in hotels and pharmaceutical companies. With all this going on, how big a capital chain would it take?
No matter how much money he makes, the continuous expenditure is an astronomical figure. Director Lu is a little worried about his capital chain.

Li Changhe smiled silently in his heart. He did not report his profits from this oil storm. The main reason was that there was too much money this time, and it was all in the United States. He had arranged the investment at that time, so he did not say anything.

Moreover, making billions of dollars in a row would be a huge shock to the top management and would also raise their threshold, which Li Changhe does not want.

He can support national construction, but he must do so at his own pace and not allow others to disrupt his rhythm.

"This type of investment is often made in installments, rather than transferring the money all at once. In this case, I estimate that $200 million will be no problem, and there will be no need for any bank loans."

"Let's allocate it according to the investment amount of 200 million US dollars. You two can take a look at which projects need my financial support. You can list them when the time comes. We can take this opportunity to decide on them, which will be justified."

Li Changhe then revealed an amount of 200 million yuan. This amount was not reported casually by him, but the profit he had just earned.

And the source of this profit is Kuwait in the Middle East.

That’s right, it was the fake stock market on the Kuwait border that Saudi Prince Tarak invited Li Changhe to participate in years ago.

Li Changhe didn't pay any attention to that side at first, because it was beyond his memory, and he didn't know the specific situation of the fake stock market.

The people sent there carried out their operations in complete accordance with routine stock market practices.

But unexpectedly, during a routine report some time ago, Li Changhe discovered that the profits there were beyond imagination. In the words of his subordinates, they were simply making money crazily there.

A bunch of wealthy people who had no professional financial knowledge were attracted by the bubble created by many financial practitioners there and started pouring money into it crazily. It was too easy for Li Changhe's team to make money.

In just a few months, their paper profits have more than tripled, and these profits can be cashed in at any time and they can withdraw.

Li Changhe originally thought that the three-fold profit was enough and planned to call them back, but the team there believed that the financial crisis had just begun and they could continue to participate.

According to them, every day there are wealthy people coming from Egypt, Oman, Dubai, and even Iran and Iraq to join this feast.

According to their practitioners' time judgment, they believe that this financial bubble will not collapse before the oil price plummets because the Kuwaiti national finances are providing a bottom line for them.

Therefore, they applied to continue staying and participating.

After careful consideration, Li Changhe decided to give them another quarter, but he also asked them to start withdrawing part of the funds and only retain $500 million in principal to continue operations.

Therefore, Li Changhe now has an extra 200 million US dollars in his hands out of thin air, and this is the extra income without affecting his original capital.

But he couldn't tell these things to Mr. Liao and the others.

"Another two hundred million dollars?"

"Comrade Changhe, your ability to make money is amazing."

"Okay, let's calculate it as $200 million. Old Lu and I will sort it out and see which projects need your help."

When Mr. Liao heard Li Changhe's reply, he was surprised and inexplicably happy.

The more powerful Li Changhe becomes, the more it proves how brilliant their original move was.

After all, no one knows better than them the country’s foreign exchange gap in the past two years.

What Li Changhe did was not just icing on the cake, it was a helping hand in the snowstorm!
(End of this chapter)