A century-old wealthy family that rose from Shanghai

Chapter 201 Entering the Sugar Industry

In the conference room of Global Trade, representatives of the Jiangsu and Zhejiang financial groups including Chen Guangliang, Yu Qiaqing, Fang Jiaobo, Yan Zhiduo, Zhang Yuanji, as well as professionals including Cao Mingxian, a sugar engineer from the former National Sugar Factory, Chen Qi, a laboratory engineer, and Wu Xinbing, an electrical engineer, gathered together.

Recently, Chen Guangliang waited for an opportunity, that is, Chen Jitang privately sent a representative to contact him.

Although it only expressed welcome to invest in the sugar industry in Guangdong Province, this was enough. After all, Chen Guangliang also knew that the profits from sugar production were very high.

Big profits naturally mean high risks, so it's totally worth the risk.

Chen Guangliang first carefully analyzed this investment idea for everyone: "Everyone, I believe that you have all read my recent articles on sugar production and understand that this is the biggest opportunity for our Huaxia Sugar Industry. If you have any ideas, please feel free to raise them first!"

Cao Mingxian, a sugar engineer, was the first to ask, "Mr. Chen, the National Sugar Refinery was built and began production in 1925, producing 300 tons of white sugar per day. The raw material was Java No. 16 to No. 18 brown sugar, decolorized and refined using the bone char process. The original design used sugarcane as the raw material, with imported raw sugar also being used to refine refined sugar. However, the equipment purchased was designed for beet sugar production, which was inefficient. Furthermore, due to internal disagreements and poor management, the factory suffered from excessive debt and a lack of cash flow, forcing it to suspend production. So, have you ever considered the reasons for its failure?"

Chen Guangliang smiled and said, "I believe you must have summarized it. If you have any questions, please ask directly!"

Professionals must be a little arrogant.

Cao Mingxian then asked, "We have three questions: First, why Guangdong Province in particular? Second, which country are you planning to purchase the equipment from? Third, do you have sufficient funding?"

Chen Guangliang nodded. His questions were very precise. Then he said:

"Guangdong and Guangxi are the most suitable areas for growing sugarcane, and sugarcane extraction offers the lowest cost and highest utilization rate. This is the biggest reason for our success. Your original National Sugar Refinery failed because it purchased sugar beet extraction equipment. Even if you had opted for sugarcane extraction at the time, you would have had to purchase raw materials from Southeast Asia, which greatly increased costs."

"Secondly, the sugar-refining equipment I'm interested in is American. Of course, I'll throw out a huge bait: we're going to invest in six factories in Guangdong Province, each with a daily output of 6 tons of sugar."

Everyone was shocked. The National Sugar Factory, which had invested 250 million oceans at that time, could only produce 300 tons of sugar per day.

Ignoring everyone's surprise, Chen Guangliang continued:
"Third question, this time our Jiangsu-Zhejiang consortium plans to collaborate with the Guangdong Provincial Construction Department on a public-private joint venture. Furthermore, although we plan to build six factories, we will invest in one factory first, and then consider the progress of subsequent factories. Let me be clear: I want to lower the price of a complete 1000-ton sugar-refining equipment set to under $80, or even lower."

“If successful, we can make back our investment in one year.”

Yu Qiaqing couldn't help but say, "Impossible, back then."

I wanted to continue, but didn't.

Chen Guangliang laughed and said, "Why not? Everyone needs to understand one thing: the Great Depression in Europe and the United States is extremely severe. Even if a set of equipment doesn't make money, as long as it can be sold and the factory can start production, they will choose to do it. Moreover, when we put forward the proposal of six factories, there will definitely be two or three manufacturers competing. We will choose the one with the best conditions. This is our advantage."

But having said that, the equipment that used to cost 250 million US dollars would now cost about 100 million US dollars when converted into US dollars.

Now, 100 million US dollars is almost 380 million oceans, and the US dollar is still appreciating.

Chen Guangliang himself exchanged another 80 US dollars some time ago and made some foreign exchange profits.

At this point, everyone was completely convinced.

Yu Qiaqing then raised a major question: "The warlord problem in Guangdong Province is serious. Is our investment risky? Guangliang, what do you mean?"

Didn’t you guys arrange for me to invest before? Why are you scared now?

Chen Guangliang uttered a classic line: "Marx once quoted this: Capitalists fear no profit or too little profit, just as nature fears a vacuum. Once there's a reasonable profit, capitalists become bolder. If there's a 10% profit, it's guaranteed to be used everywhere; with a 20% profit, it becomes active; with a 50% profit, it takes risks. I won't go into the rest. After all, it's impossible for us to break the law with this investment."

In fact, he was concerned about profit, but he also had another real idea - if he could accomplish this, his reputation in the industrial world would be further enhanced.

“Okay, this project can be invested in.”

Finally, everyone excitedly expressed their desire to invest or participate in the shares.

Professionals such as sugar-making engineer Cao Mingxian, laboratory engineer Chen Qi, and electrical engineer Wu Xinbing can also choose to invest in their technology, which Chen Guangliang agreed to.

In the past, the National Sugar Refinery also hired Swire Sugar Refinery as a consultant, but this time it was naturally not necessary as the original professionals had already learned the lesson; in addition, the American Sugar Machinery Company could also provide professional consultants.

Finally, Chen Guangliang said, "Everyone, please be patient. I plan to visit Guangdong Province in October for a period of time. I will first submit our proposal to the Guangdong Provincial Construction Department. Once we gain their cooperation, we will then raise funds for a company listed on the Shanghai Stock Exchange and cooperate with the Guangdong Provincial Construction Department under the name of a Shanghai-listed company."

Everyone agreed with this.

The investment in this project is large enough, and to be honest, each sugar factory may have different equity.

And once the sugar factory in front makes money, the one behind may be fully invested by Guangdong Province. After all, who would give you so much of such a big cake?

Guangdong Province currently lacks talent in this area and is unsure about the solution, so it has invited financial groups from Jiangsu and Zhejiang to invest.

Chen Guangliang has become a prominent figure in Shanghai, and his articles in the shipping field have also received positive responses from many shipping professionals.

Of course, the biggest beneficiary is the Oriental Daily, whose sales volume has reached nearly 120,000 copies, making it truly on par with the News and Shenbao, and even more influential. It is mainly read by business people.

In October, Chen Guangliang would definitely take his team to Guangdong Province for a personal inspection, which was expected to take at least two weeks. Fortunately, ships now only needed 10 hours to arrive, which was acceptable.

But before that, Chen Guangliang had to arrange his work in the Shanghai Stock Exchange.

this day.

Chen Guangliang brought the management of the Shangri-La Hotel to inspect the construction site.

After the renovation of the original Dahua Hotel began, Chen Guangliang retained 70% of the management of the Shangri-La Hotel, that is, he recruited the best candidates; the remaining management and most of the staff were temporarily dismissed, but he promised that they would be given priority when the Shangri-La Hotel opened.

After all, it is impossible for Chen Guangliang to hire so many people for a renovation that lasts for a year. Even the management who stay can only get 70% of their original salary.

The management who remain have to go to work on time in the office every day. Their work mainly involves "training and learning", and they will occasionally be seconded to other companies.

There are a total of twenty-two people who stayed, and their annual salary will cost fifty thousand!

"In half a year, the Shangri-La Hotel will reopen. I wonder if anyone outside knows the name of the new hotel yet?" Chen Guangliang said, looking at the four-story building under renovation.

This four-story building cost hundreds of thousands of dollars to build, but it has only been in operation for six or seven years.

The renovation plan primarily blends modernity with European elegance. For example, the first-floor lobby retains its Ionic marble columns and features a symmetrical, elliptical dome, intricate and exquisite, replicating the Basilica of Sant'Andrea in Rome, Italy, while also incorporating many modern elements.

Later, the first-floor hall will no longer be used exclusively as a dance hall (it originally served as a dance hall), but will be converted into a dining hall. However, the dance hall can be used for large gatherings and banquets.

Being a specialized dance hall meant that there would be specialized dancers, so the Shangri-La Hotel would naturally not be so vulgar.

Deputy Prime Minister Gao Zhichao, who is scheduled to attend the event, responded, "There's still a lot of discussion out there. Shouldn't we release the news to get everyone excited? Also, some wedding dinners can be booked."

The new Shangri-La Hotel management system will feature one general manager and two deputy general managers. Gao Zhichao can appoint a head of the hotel department, but a new head of the hotel division will be needed. Chen Guangliang will serve as general manager for a period of time, only handing over the reins once the hotel is on track, as is his typical approach. Chen Guangliang immediately responded, "You're right. We should advertise in advance. The hotel opens in mid-March of next year, less than six months away. So, you can spread the word through newspapers, but you need to polish the name 'Shangri-La'. It would be best if someone could write a story about it. First, we need to clarify the meaning of 'Shangri-La'—a Tibetan transliteration meaning 'paradise,' symbolizing the search for an ideal society, perhaps a hidden and harmonious utopia filled with tranquility and beautiful natural scenery, perhaps referring to the ancient Dali Kingdom in Yunnan."

Make up!

As for the foreigner's novel, it doesn't matter when it was written.

The key is that the name you choose must have a special meaning so that people can recognize it.

Gao Zhichao and the others took notes, and then he said, "Great, so this name has such a dreamy meaning. Whether it's foreigners or overseas Chinese, they will definitely like it very much."

These two types of people are the hotel's main customer groups.

Afterwards, everyone looked at the two buildings that were being renovated and newly built, and couldn't help but show excitement.

The total area is 12.15 acres. The north building is the four-story restaurant part, and the south building is the eight-story hotel part. There is an open space of more than four acres in the middle as a square. The two buildings are also connected by a covered bridge.

The century-old building is definitely stable, and the subsequent New China government will probably not demolish it.

Because he was going on a long journey, Chen Guangliang carefully arranged the work of each company. This era was not like the later times, and it was not so convenient to make phone calls. Fortunately, he could use the telegraph system of the Oriental Daily to transmit information.

But Chen Guangliang's primary concern was the security of his funds. Fortunately, the companies had become modern management companies, making financial transactions much more complex. Furthermore, Chen Guangliang had deposited most of his funds with the Changjiang Money House, which in turn held funds in various commercial banks. Withdrawals required Chen Guangliang's presence.

Of course, Chen Guangliang himself still trusts his subordinates. After all, he has always attached importance to communication with his subordinates and cultivates them as "retainers."

On the other hand, Chen Guangliang felt that since this trip was by ship, it posed little risk to him. Given his physical fitness and swimming skills, he could survive even if he fell into the ocean. As for the possibility of an assassination, that was probably even lower.

Therefore, he did not need to leave any 'will'.

After all, if something really happened, he didn't seem to care about anyone very much, so it didn't matter to whom the wealth belonged.

Theoretically speaking, his mother and brother cannot keep much of the wealth, so it would be better to donate it to the government!
Even the descendants of Sheng Huaixuan had a lot of wealth taken away by the Nanjing government, not to mention that Chen Guangliang did not even have any descendants.

However, before going to Guangdong Province, Chen Guangliang finally made a decision.

On this day, Chen Guangliang made an appointment with Tang Feifan, associate professor, professor, and director of the Department of Bacteriology at the School of Medicine of Shanghai Central University, to meet in his office.

Tang Feifan said with some surprise on his face: "Mr. Chen, you are so young!"

Chen Guangliang responded humorously: "This is my disadvantage. Because I'm too young, it's very difficult for me to gain other people's trust."

Tang Feifan was stunned for a moment, then said, "Although I'm not from the business world, I often read Mr. Chen's articles. Besides, Mr. Chen is in Shanghai, so I believe no one would disbelieve him!"

Chen Guangliang immediately took out a British magazine and said, "In that case, let me discuss the purpose of our visit today with Professor Tang. Professor Tang, please take a look at this paper first!"

Tang Feifan took the magazine and read it carefully.

"This is a paper by British physicist Fleming. He discovered that, while observing a petri dish under a microscope, the Staphylococcus aureus colonies surrounding a blue mold had dissolved. This suggests that some secretion from the mold can inhibit Staphylococcus aureus. This paper doesn't seem to explain anything."

It is normal that this paper, published in 1929, did not attract much attention among scientists.

Chen Guangliang said frankly, "I suspect this cyan mold, once purified, can kill bacteria. Tens of millions of people die from bacterial infections every year. It could be a cold, a wound, or even just a few. If this cyan mold could be cultivated and purified, it would be the world's greatest invention."

At this time, he didn't care about revealing anything, because Tang Feifan was a great expert in bacteriology in China and the inventor of penicillin in later generations.

Tang Feifan was struck by lightning and said in disbelief, "Could it be that Mr. Chen is an expert in this field, which is why he makes such a confident judgment?"

Chen Guangliang smiled calmly and said, "I'm a dreamer. I stumbled upon this paper and I think it holds a huge secret. If Professor Tang is willing, I can fund you to set up an experimental project to research and develop this Penicillium."

Tang Feifan calmed down and said, "How to obtain this Penicillium is completely clueless."

Chen Guangliang said, "As long as I have the funding, Professor Tang can go to England to consult with Fleming. He can also try to find out whether this Penicillium can be obtained from soils around the world, or from moldy fruit. In short, if Professor Tang is willing to establish this research project, I will provide any amount of funding, with one prerequisite: keep it secret and keep it out of the hands of the Japanese."

Tang Feifan looked at the paper in the magazine and hesitated.

After all, if he studies this matter, it will inevitably affect his current research topic - Mycoplasma.

Seeing this, Chen Guangliang said, "Professor Tang, what could be more important than the tens of millions of people who died from viral infections? This could be humanity's first antibiotic. If you can truly develop it, the Nobel Prize will be yours."

If he had not seriously researched the talents of major universities in the past year, he would have missed out on Tang Feifan, the master of bacteriology.

"Mr. Chen is really willing to provide funding?"

"I'm so sincere, why would I care about money?"

Even if this thing is truly developed, China will not be able to mass-produce it, and in the end, the Americans will still be the ones to get it. Of course, we can negotiate terms and ask the Americans to support China's anti-Japanese war by providing supplies and penicillin.

To put it bluntly, Chen Guangliang is also considering the country now.

"Okay, I promised Mr. Chen that I would conduct research on this aspect."

Chen Guangliang nodded happily and said, "Okay, if Professor Tang needs anyone to join this research later, you can poach them. Funding is not a problem."

Tang Feifan asked curiously, "What does Mr. Chen want?"

Chen Guangliang said with a smile, "I don't want anything. If there are any results one day, I will give them to the country as a bargaining chip."

Tang Feifan said sincerely: "Mr. Chen's patriotism is something I admire!"

Chen Guangliang waved his hand, left 100,000 yuan, and then stood up to say goodbye.

One hundred thousand dollars was used to purchase equipment and then go to the UK to obtain strains and results.

Chen Guangliang also knows that achieving results in research and development is one thing, and being able to mass-produce is another, so it is also very good to be able to leave a name for the Chinese in the end.

Mass production is too difficult. After all, during the Korean War in the previous life, mass production was not possible in the country. The main reason was that the purification, large-scale cultivation, and preservation processes were too difficult.

In essence, it is not difficult to produce research results. In the past, two scientists took two or three years to conduct formal research, and the main reason was that ten years were buried.

(End of this chapter)