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Wuxi, the production base of Hanxin Materials.

After more than half a year of intensive construction, the factory building was finally completed.

Today is the trial operation ceremony, and many people have come...

Local government leaders, industry experts, downstream customers, and the media.

Suning attended in person; he was wearing a dark suit and looked very energetic.

Wu Kezhi, Lin Yuming, Sun Yiqiu, and Dr. Zhao Liming were all standing next to him.

"President Su, everything is ready," Wu Kezhi said in a low voice.

"it is good."

The ceremony begins.

First came a series of speeches by leaders, followed by a ribbon-cutting ceremony.

After completing these processes, we finally reached the most crucial step: trial production.

Everyone moved to the production workshop.

Through the glass wall, you can see the fully automated production line inside.

Dr. Zhao Liming, holding a walkie-talkie, said, "Start."

The production line slowly started running.

Raw material input, mixing and reaction, filtration and purification, filling and sealing... every step is carried out in an orderly manner.

The robotic arm precisely moves materials, and all data on the dashboard remains stable within the normal range.

An hour later, the first batch of finished products rolled off the production line.

It's photoresist in a special container, a pale yellow liquid that doesn't look particularly special.

But everyone is watching it closely; this is the hope for domestically produced high-end photoresist to break the foreign monopoly.

“Sampling and testing,” Zhao Liming said.

The technician took several samples and delivered them to the adjacent testing room.

There are high-precision testing instruments imported from Germany that can measure all the key parameters of photoresist, such as resolution, sensitivity, viscosity, and stability.

The wait for the results is very long.

No one spoke; the atmosphere was tense.

Suning appeared calm on the surface, but his heart was equally unmoved.

Although he had faith in the technology of the space world, it was, after all, the first time it had been actually produced, and what if something went wrong...?

Half an hour later, the door to the testing room opened.

The technician came out with a report, a smile on his face: "Dr. Zhao, General Manager Su, the results are in! All indicators are qualified! The resolution reaches 28 nanometers, the sensitivity is 5% higher than imported products, and the stability test has passed!"

A burst of enthusiastic applause erupted from the audience.

Purchasing representatives from several downstream chip manufacturers immediately surrounded him: "President Su, we want to place an order! We'll order one hundred tons first!"

"We want two hundred tons!"

"We'll guarantee six months' worth of production!"

Suning responded one by one: "Please don't worry, production capacity is still ramping up. But we will prioritize the needs of domestic customers, and the price will be 20% lower than imported products."

These words caused an even greater uproar at the scene.

The news spread very quickly.

That afternoon, industry media broke the news: "Major breakthrough in domestically produced photoresist! Hanxin Materials has successfully completed trial production, with performance comparable to imports!"

That evening, financial news also reported: "Ningyuan Capital's photoresist project has achieved mass production, breaking the foreign monopoly!"

The next day, the entire semiconductor industry was shaken.

More than a dozen domestic chip manufacturers, from Huawei HiSilicon to SMIC, from Yangtze Memory Technologies to Huahong Semiconductor, all sent representatives to Wuxi for inspection and negotiation.

Foreign buyers have also come. Semiconductor companies from Japan, South Korea, and Taiwan, who never bought Dongda photoresist before, are now taking the initiative to contact us and say they want to "take a look at the samples".

Orders came in like snowflakes.

Holding a thick stack of letters of intent, Wu Kezhi approached Suning: "President Su, this... the order volume has already exceeded our total production capacity for next year. What should we do?"

“Expand production capacity.” Suning was decisive. “Build two more production lines and increase annual output to three million tons.”

"That requires additional investment..."

“Money is not a problem,” Su Ning said. “Ningyuan can invest another 500 million yuan, and Jianguo Group can also join in. In addition, we can introduce strategic investors. SMIC and the State-owned Assets Supervision and Administration Commission have already expressed interest and want to take a 10% stake.”

"Okay, I'll go talk to them right away."

……

Ningyuan Capital made a name for itself because of this project.

In the past, when people talked about Ningyuan, they thought it was "a rich second-generation's hobby fund".

But now, no one dares to say that anymore...

To be able to launch a hard technology project like photoresist and achieve mass production so quickly is definitely not just a hobby.

Industry insiders have begun to seriously study Ningyuan's investment portfolio: medical AI, industrial robots, mRNA vaccines, large-scale AI models, photoresist, lithography machine components...

Each project is stuck on a critical track, and progress is incredibly fast.

"Ningyuan's team has an incredibly sharp eye," a colleague exclaimed. "How can they see the potential in a project so early on? And the results are immediate after investment. That speed is astonishing."

"I heard that their investment director, Chen Xi, used to work at Goldman Sachs and is particularly good at identifying projects."

"Not only Chen Xi, but Zhang Yuan, the risk control director, is also very capable. She handles legal and compliance matters flawlessly."

"The key is the boss, Su Ning. Although he is young, he makes decisive decisions and has strong resource integration capabilities. Look at the photoresist project, he handled everything from technology to funding to government relations."

The praise is growing, but Suning remains clear-headed.

During an internal company meeting, he said, "Everyone, the success of the photoresist project is a good thing, but it also brings pressure. Now everyone is watching us to see what project we will invest in next and whether we can succeed again. We cannot be complacent; we must be more grounded and more cautious."

Chen Xi nodded, "President Su is right. We've already finished screening the second batch of projects, and we'll start due diligence next week. This time, the standards will be higher, and the risk control will be stricter."

Zhang Yuan also said, "I will keep a close eye on compliance. Now that the company is large, it attracts attention, and we can't afford to make any mistakes."

“Okay.” Su Ning looked at everyone. “Ningyuan Capital has established a firm foothold in the first phase. Next, we will enter the second phase, focusing on the industry and value investing. We will not only invest money, but also invest in resources, management, and the ecosystem.”

"Our goal is not to be an ordinary investment fund. We want to be an investment platform that can drive industrial progress and create social value. It's a long road, but we must keep going."

After the meeting, Suning stood alone by the office window.

The night outside the window was deep, but the city lights were still dazzling.

He recalled that a year and a half ago, he had just resigned from Jin Chen Capital and registered Ningyuan Capital with only a few people and two billion yuan in capital.

Now, the company has a complete team, has invested in eight projects, has expanded its management scale to 10 billion, and has made a name for itself in the industry.

This was faster than he had expected.

But he knew that the real challenge was just beginning.

The photoresist project was a success, but what about the next project? And the one after that?
Investing is a risky business, like walking on thin ice.

One success does not guarantee future success, and one failure can undo all previous efforts.

One must always remain clear-headed and in awe.

However, at least for now, he has had a good start.

What I need to do next is to turn this good fortune into real strength.

The story of Ningyuan Capital continues.

And he is ready to face all the challenges.

……

After the photoresist project became a huge success, Ningyuan Capital no longer had to worry about money.

Previously, Suning had to consider funding arrangements, how much to invest in each project, whether the cash flow was sufficient, and whether to raise more funds.

Now you don't need to; the money comes to you on its own.

First came domestic institutional investors. Insurance companies, securities companies, state-owned enterprise investment platforms, and even some local government-guided funds all proactively contacted Ningyuan, wanting to invest in its funds.

"Mr. Su, we are from Zhongbao Investment. We want to invest 500 million yuan. You can decide what percentage we want."

"Mr. Su, we are Shanghai Science and Technology Venture Capital. The city strongly supports hard technology funds like yours. We can provide 1 billion yuan in financing."

"President Su, we are a Zhejiang business consortium. We are optimistic about your investment direction. We are open to discussing anything up to 2 billion yuan."

Chen Xi receives more than a dozen of these calls a day.

Overseas funds have also arrived.

International investment banks like Goldman Sachs and Morgan Stanley sent partners to Shanghai just to have a meal with Suning.

“Mr. Su, we are very interested in Ningyuan Capital’s investment strategy. In particular, the photoresist project has proven your judgment and execution capabilities in the field of hard technology.” The Goldman Sachs partner said directly, “We are willing to take the lead in helping you raise a US dollar fund, which can reach a size of five hundred million US dollars.”

Morgan Stanley's approach was even more straightforward: "We can directly invest in Ningyuan and become your limited partner (LP). In addition, we can connect you with our global industrial resources for the projects you invest in."

Suning welcomes all comers, but is also very cautious.

Zhang Yuan was put in charge of contacting all potential investors, conducting detailed background checks, and negotiating terms.

"We can accept money, but not just any kind of money," Suning said at an internal meeting. "We are looking for long-term partners, not short-term hot money. Those who only want to make quick money, have no understanding of the industry, and are always willing to engage in betting are not welcome."

Zhang Yuan nodded: "Understood. The companies I'm talking to now all agree with our philosophy and are willing to support us for five to ten years. The terms are also very favorable: 2% management fee, 20% carry (profit sharing), and a five-year lock-up period."

"Okay, these can be signed."

……

With a large sum of money in place, Ningyuan Capital began a "frenzied" investment pace.

Previously, I would review dozens of projects a month and invest in one or two.

I now review hundreds of projects a month and invest in five or six of them.

Moreover, it's not limited to the early stages; it invests in everything from angel rounds to growth stages, and even pre-IPO, as long as there's value.

Chen Xi's team has expanded to twenty people and been divided into four groups: semiconductor group, biomedicine group, artificial intelligence group, and high-end manufacturing group.

Each team has a dedicated industry researcher and investment manager.

"President Su, this is the project list for the semiconductor group this month." Chen Xi handed over a thick document. "Fifteen projects, covering the entire industry chain from materials, equipment, design, to packaging and testing. After initial screening, we recommend these five as our top priorities."

Su Ning flipped through the pages: "A dual-stage lithography machine? That's a very technically demanding technology."

“Yes, only two or three companies in China are doing this, and none of them have succeeded,” Chen Xi said. “But the project team comes from the Chinese Academy of Sciences and has ten years of R&D experience. They have recently made a breakthrough in key technologies. If we invest, it will be a timely help.”

How much to invest?

“They need 200 million, and we can lead the investment with 100 million, taking a 30% stake.”

"Okay, arrange due diligence."

"In addition, the biopharmaceutical group has a CAR-T cell therapy project that has entered Phase II clinical trials, and the data is very good," Chen Xi continued. "But the valuation is very high, it's estimated at 2 billion yuan."

Is the technology reliable?

“We had three experts conduct a back-to-back evaluation, and they all agreed that we are among the top tier in China. The founder returned from the United States and worked at Novartis for ten years.”

"Then let's invest. We're not afraid of medicine being expensive, we're afraid of it not being effective."

"The AI ​​team recommended an autonomous driving company that makes Level 4 autonomous delivery vehicles. They are already piloting in Shanghai and Shenzhen, and mass production is planned for next year."

"That's possible, but we need to be aware of the policy risks. The laws and regulations for driverless cars on the road are not yet perfect."

"Understood, Zhang Yuan is already conducting a compliance assessment."

……

In addition to direct investment, Ningyuan has also begun to integrate industries.

For example, in the field of semiconductor materials, Ningyuan has successively invested in four companies: photoresist, silicon wafers, electronic specialty gases, and sputtering targets.

Then Suning took the lead in establishing a "Semiconductor Materials Industry Alliance" with these four companies to share customer resources, collaborate on research and development, and even jointly procure to reduce costs.

"Going it alone won't get you anywhere; you have to stick together to survive." Suning said at the alliance's founding conference, "We at Ningyuan will not only invest money, but also help everyone find orders, introduce technology, and build platforms. The goal is to increase the alliance's output value to 20 billion yuan within three years."

The invested companies were very excited.

Previously, they each did their own thing, resulting in limited customers and high costs.

With Ningyuan's endorsement and the support of the alliance, orders have suddenly increased.

In the field of biomedicine, Ningyuan followed the same approach.

I invested in three companies: one in innovative drugs, one in medical devices, and one in CRO (Contract Research Organization), and then facilitated their collaboration...

Innovative drug companies outsource clinical trials to CROs, while medical device companies provide equipment support for these trials, creating a closed loop.

“This is more efficient, lower in cost, and has a higher success rate,” Chen Xi said. “Moreover, we can concentrate resources to help them connect with hospitals, drug regulatory authorities, and even overseas markets.”

With the investment pace accelerating, Ningyuan's team is getting busier and busier.

Chen Xi is on business trips almost every day. Today he's in Shanghai looking at projects, tomorrow he's flying to Beijing to meet with experts, and the day after tomorrow he's going to Shenzhen to visit factories.

Zhang Yuan, on the other hand, had to deal with mountains of legal documents, and each project had to undergo compliance review.

On Wu Kezhi's side, Hanxin Materials was on track, and he began to help Ning Yuan look at other high-end manufacturing projects.

Lin Yuming and Sun Yiqiu also became investment managers, each in charge of several projects.

"Yiqiu, isn't the valuation of your industrial software project a bit too high?" Lin Yuming asked, looking at Sun Yiqiu's report.

"It is advanced, but their technology is indeed excellent," Sun Yiqiu said. "There are only a few companies in China that can develop integrated CAD/CAE software. Although they are small, they already have customers, including Huawei and AVIC."

"What about the risks?"

"The main risk is talent. Software companies are most afraid of their core teams being poached. So I suggest adding restrictive clauses to the investment agreement, stipulating that core personnel cannot leave the company within five years."

"Yes, Zhang Yuan needs to oversee this."

As the two were discussing, Su Ning walked in: "I have a new direction, take a look: commercial spaceflight."

"Aerospace?" Lin Yuming was taken aback. "President Su, isn't this field incredibly expensive? And the policies..."

“The policies are being relaxed,” Su Ning said. “The country encourages private aerospace, and several companies are already making rockets and satellites. We don’t need to make complete rockets; we can make key components, such as rocket engines, satellite payloads, and ground tracking and control systems.”

Then he took out a document: "This is what I asked Chen Xi to do preliminary research on. There are more than a dozen related companies in China, three of which have good technology. You guys take a look, and if it's feasible, we'll invest."

“Okay.” Sun Yiqiu took the documents.

……

In just six months, Ningyuan Capital has invested in more than 30 projects, covering more than ten high-tech fields such as semiconductors, biomedicine, artificial intelligence, new energy, commercial aerospace, and industrial software.

The scale of management has soared from 20 billion to 30 billion.

Some in the industry have begun to call Ningyuan a "hard technology catcher"...

We specialize in investing in projects with high technological barriers, strong reliance on imports, but which have enormous value once a breakthrough is achieved.

Some industry peers also said sourly, "Ningyuan just has too much money and invests recklessly. At such a fast pace, they're bound to make some mistakes."

But Suning doesn't care.

He knew what he was doing; he wasn't gambling, he was strategizing.

Every project undergoes rigorous due diligence, every track is thoroughly researched, and every team is repeatedly evaluated.

Moreover, he has a technological database of the space world as a reference, which allows him to judge in advance which technological routes are feasible and which are dead ends.

This is not blind investment.

This was a prepared charge.

What he needs to do is lead Ningyuan Capital to be at the forefront of this charge in hard technology.

Money is not a problem, the team is not a problem, resources are not a problem.

The only problem now is time.

Suning aims to invest in the most high-quality projects in the shortest possible time, establishing Ningyuan's absolute advantage in the field of hard technology investment.

Now that I have this bug of a spatial world, it would be too low to be timid and hesitant.

...(End of chapter)