A century-old wealthy family that rose from Shanghai

2016 years.

The bankruptcy of Hanjin Shipping, the world's eighth-largest and South Korea's largest shipping company, casts a shadow over the entire shipping industry.

In 2008, the highest ocean freight rate from Brazil to China reached US$108 per ton, while the highest ocean freight rate from Western Australia to China reached US$50 per ton.

Since 2010, global shipping has officially entered a period of decline, reaching its lowest point in 2016. However, it is unknown how long it will take to recover from this downturn.

As a long-established shipping company in Hong Kong, 'Worldwide Shipping' expanded its fleet to 2200 million tons (including managed fleet) in 2004 under the leadership of its third-generation leader, Chan Chak-man, surpassing the 2000 million tons at his grandfather's peak, which was widely talked about by the media.

At its peak in 2008, it sold off some ships and contracts at high prices, a practice that continued until 2011. Ultimately, Global Shipping's fleet was approximately 1400 million tons, with 900 million tons of directly owned fleet, encompassing three major transportation businesses: oil, natural gas, and container shipping.

Des Voeux Road, Universal Group Building.

In the conference room on the top floor, 81-year-old Chen Wenming convened a meeting with his four sons to prepare for the division of his estate.

His four sons have always maintained a system of "separate management but not separation of the family business". Except for his second son, Chen Zeqi, who started his own business, the other three sons respectively take charge of the three major sectors of Wharf Holdings, Worldwide Shipping, and aviation.

"I'm planning to divide the family property, so I've summoned the four of you here specifically to discuss it!"

Upon hearing this, the eldest son Chen Zesong, the third son Chen Zewen, and the youngest son Chen Zechi were all very surprised, while the second son Chen Zeqi seemed to think that it was none of his business.

“Dad, Uncle’s approach is quite good, and we’ve always managed things separately but never separated. Why?” The eldest son, Chen Zesong, spoke first.

Logically speaking, splitting up the family business would be the best thing for him, because the Wharf Holdings Group, which he leads, has better assets and prospects.

Chen Wenming said seriously, “Your uncle’s approach is certainly good, but I don’t necessarily have to follow his example. You are already in your forties or fifties, and I can no longer look at you with the same eyes as before. On the other hand, last year your uncle set up a trust fund for his three sons and one daughter, which touched me deeply. So after consulting with your grandfather, I decided to divide the family property.”

Upon hearing that their grandfather had agreed, the four of them immediately sat up straight and became serious.

Later, Chen Wenming took out four documents and gave them to his four sons, asking them to read them on their own.

The information divides his assets into five parts:

The first part is naturally the 'father-son trust', but this 'father-son trust' does not contain equity in its subsidiaries. Instead, it represents reinvestment of profits made over the years, primarily in global real estate and securities investments. Currently, this part is valued at approximately $400 billion, of which the 5% stake in Tencent (dispersed offshore) is worth tens of billions of US dollars.

The second part is Wharf Holdings. It holds a large number of commercial real estate projects in mainland China, including five IFCs and several hotels and buildings; it is also the largest commercial real estate group in Hong Kong, holding more than 10 million square feet of rental space in Harbour City, Times Square, Hollywood Plaza, etc.; and finally, it is the largest commercial real estate group in Singapore, owning several expensive properties in Singapore.

Part Three: Worldwide Shipping and Worldwide Properties. Worldwide Shipping remains one of the world's largest shipping fleets, particularly with its established transportation network still ranking among the top ten globally, and it holds equity interests in several ports. Worldwide Properties, originally part of Wharf Holdings, has been spun off again, primarily holding over a dozen expensive skyscrapers in Manhattan and Tokyo.

Part Four: Hong Kong Airlines, Global Aircraft Leasing, and properties formerly owned by Global Trading (located all over the world).

Part Five, PCCW. In reality, Chen Zeqi's initial entrepreneurial endeavors were supported by Chen Wenming with cash, so he was not actually participating in the distribution this time.

“Zeqi is not involved in this allocation; I just listed his PCCW account on it.”

Chen Zeqi thought to himself, "This is the empire I created."

Of course, he also understands that he hasn't had many truly successful projects over the years. His main wealth today still comes from the Tencent shares (PCCW holds 20.5%) that his grandfather entrusted to him.

"Yes"

Chen Wenming continued, "Zesong will take Wharf Holdings, Chen Zewen will take Global Shipping and Global Real Estate, and Zechi will take Hong Kong Airlines, Global Aircraft Leasing, and Global Real Estate Trust. Take a close look, and if you have any ideas, you can bring them up now, but don't bring up the distribution later."

Everyone knows that Wharf Holdings has more assets, but Chen Zesong is the boss. Not to mention his branch, the boss is the one with the most advantages in all branches.

Chen Zesong spoke first: "Father, we have acquired this wealth and assets created by Grandpa and you, so we should also set up a trust fund to pass it down to future generations."

As the head of this lineage, he knew full well that the living expenses of the 'family office' and 'father-son trust fund' were their real expenditures.

It's equivalent to only using the interest, not the principal.

Chen Wenming said with satisfaction, "That's right, that's what your grandfather meant. The four major businesses can be given to you, but you must also include them in a 'father-son trust' that belongs to you and your children, and then set a monthly living allowance standard for you and your children. In this way, it is equivalent to you and your children receiving three living allowances. Of course, as the founders of your own 'father-son trust,' you have the right to receive some large expenses and are also the main players in reinvestment."

Yes, Father.

No one raised any objections from beginning to end. The family never voiced any 'fight for inheritance' and would never allow such a thing to happen.

Finally, Chen Wenming said, "After your father-son trust is established, your grandfather and I will also give you some investment advice, and we will also provide special care for those with relatively thin assets."

Chen Zewen and Chen Zechi were secretly delighted, as it was their grandfather's care. Of course, on the surface, they quickly thanked their grandfather and father.

After dividing the family property, Chen Wenming suddenly felt a sense of loneliness, realizing that he had grown old.

The eldest son is 53 years old, and the youngest son is 44 years old.

"I'm afraid Father has this kind of trouble too!"

The most successful Chinese person in 2017 was probably Chen Zeqi of PCCW. With Tencent's market value soaring, PCCW, which holds 20.5% of Tencent, also saw its market value rise sharply. As a result, founder Chen Zeqi was naturally very successful, even surpassing his elder brother Chen Zerui.

Cyberport, located on the south side of Hong Kong Island.

This place has become Asia's Silicon Valley, and it's a success.

Of course, PCCW, under Chen Zeqi's control, had strong support from the family when it wanted to become the "Silicon Valley of Asia." For example, the "gaming industry" and "internet industry" were moved there, and even Midea Electronics had some business there.

On the other hand, Chen Zeqi also attracted many foreign high-tech companies to settle in, including Microsoft and Yahoo.

Ultimately, however, it is because Hong Kong's technology and cultural industries have developed so well that Cyberport has achieved its current success.

PCCW's headquarters are also located in an office building in Cyberport.

"Good morning, Jacky."

"morning"

Chen Zeqi, dressed in a gray suit, walked into the office building, and his colleagues greeted him.

Chen Zeqi walked into the office, and soon a senior executive came in to give a report.

"Jacky, Squid Game is a huge hit in Asia, and our Viu streaming service has seen a 30% increase in users, especially in South Korea and Japan, which is very encouraging," CEO Li Kaiyi, who is in charge of the streaming business, excitedly reported.

Viu has consistently held the top spot in Southeast Asia's streaming market (equivalent to Tencent Video) thanks to its 'Hong Kong culture' content. However, while Viu has also performed well in Japan and South Korea, it faces fierce competition from its home country and Netflix in the United States.

Although Hong Kong pop culture has had a significant impact on Japan and South Korea, these countries have always had a strong sense of cultural pride, making it difficult for Hong Kong pop culture to dominate their local markets.

"So, in the Japanese and Korean markets, we've already firmly surpassed Netflix!"

"Yes. Especially in the South Korean market, we have already won over their audience. Of course, if we want to completely dominate the market, we need to cooperate more with the local community, otherwise they will be more xenophobic."

Chen Zeqi nodded. If the goal is simply to export 'Hong Kong culture,' it will inevitably be met with resistance from the national pride of these countries sooner or later.

He wasn't particularly enthusiastic about 'exporting Hong Kong culture'; what he cared about was Vin's market share in Asia. "Okay, then we'll increase our investment in South Korea. Of course, on the other hand, we need to continue investing more in self-produced program content, entertainment business, etc. We need to be competitive with media groups and not let them always control our content; we need to completely dominate this industry."

Li Kaiyi was stunned. This was the boss challenging her aunt. Sure enough, there are no fathers and sons, let alone brothers, in the business world.

Of course, Li Kaiyi was not surprised by Chen Zeqi's behavior, after all, the competition between Hong Kong Telecom and Hutchison Telecom back then was something that the public talked about with great interest.

Ultimately, the result was that other telecommunications companies in Hong Kong could not withstand the pressure, and Hong Kong Telecom and Hutchison Telecom almost monopolized the Hong Kong telecommunications market.

“Okay, I understand. Traditional television and satellite television will inevitably be greatly impacted by streaming media. We came here from the beginning with the intention of disrupting the industry, and we never thought of leaving any backup plans.”

At this time, although PCCW had a high market value, mainly due to its 20.5% stake in Tencent, its overall business was still thriving.

PCCW Telecom is divided into four main business segments:

First, investment. Holding a 20.5% stake in Tencent, Tencent has been steadily paying dividends since 2016.

Second, Hong Kong Telecom. It provides local fixed-line services (97% market share), broadband, mobile communications (its subsidiary CSL is Hong Kong's largest mobile operator), and international telecommunications (PCCW Global covers 3000 cities). It also entered the fields of cloud computing, data centers, network security, cross-border data, and online payment services early on. This is PCCW Telecom's main source of profit.

Third, media and entertainment. This includes three main business segments: IPTV platform, Vin streaming media, and content production, covering 26 countries and regions.

Fourth, real estate development. Cyberport is the world's earliest "technology-driven real estate model," owning office buildings, hotels, and other properties. PCCW is also developing high-end real estate in cities such as Singapore and London.

in the afternoon.

Chen Zeqi convened another group meeting, bringing together the core senior management.

"Everyone, I've decided to bring PCCW into the AI ​​(Artificial Intelligence) field, including Web3.0 and Metaverse, smart cities, AI and big data, and other artificial intelligence businesses. Jason?"

None of the high-ranking officials who were named spoke, indicating that they did not object.

Chen Zeqi immediately said domineeringly, "Alright. I want to see the preliminary plan in a week. Please remember, we must embrace the future, not just live in the present."

Tencent's successful investment emboldened PCCW.
Hong Kong Telecom is a traditional monopoly. Although it incurred huge costs in the past, after years of restructuring, the company can still generate more than HK$40 billion in revenue and more than HK$8 billion in profit annually.

Media and entertainment have gotten on the right track, but they still need to be vigorously developed.

Real estate development is not a large business.

Therefore, Chen Zeqi understood that PCCW needed new growth points. He often bypassed his father and went to his grandfather for advice, which always yielded great results. Even the idea for the TV series "The Game of Hesitation" came from a casual suggestion his grandfather made two years ago, which he then firmly remembered.

After get off work, Chen Zeqi took a campervan and drove towards Shek O.

No. 12 Big Wave Bay Road, Hong Kong Island, is a house built by Chan Chak-kei at a cost of HK$2 million, covering an area of ​​2 square feet. Because its decoration materials are mainly American mahogany, it is known as the "Super Wooden House".

The wooden cabin is situated on the hilltop of Kwun Yam Shan, facing Big Wave Bay. To the north, it overlooks the ancient stone carvings in Shek O Country Park, to the east, the Blue Pool Channel, and to the south, the Shek O Country Club and Shek O Golf Course. A private road leads to the cabin, with a secluded entrance and tight security.

Upon entering the villa, one sees a beautiful mixed-race woman with three boys waiting.

Jacky

"Father"

Chen Zeqi nodded authoritatively, then gladly accepted the service from Li Jiahui, the hostess, and entered the villa.

Lee Ka-wai was the first runner-up in the 1995 Miss Hong Kong pageant. After being pursued and won over by Chan Chak-kei, she gave birth to her eldest son, Chan Chuan-chi, in 1997, and then gave birth to twin sons in 1999.

However, Chen Zeqi inherited the philandering genes of his grandfather and father, so they publicly broke up in 2000 and naturally never got married.

From the outside perspective, Chen Zeqi only treated Li Jiahui as a 'breeding machine'.

Now their eldest son is 20 years old and is back in Hong Kong for summer vacation; in addition, their twin sons will soon be going to the United States to study at university.

So Chen Zeqi came here to reunite with his family.

At the dinner table, Chen Zeqi said, "Chuanzhi, Chuanming, you three brothers, come with me to see your great-grandfather!"

Upon hearing this, Li Jiahui's eyes lit up. For so many years, she had been devoted to her three sons and never had any ambiguous relationships with other men. Her biggest thought was that, no matter what, her three sons were Chen Zeqi's 'heirs'.

Yes, Father.

After talking with the children, Chen Zeqi decided to stay overnight.

When Li Jiahui entered the bedroom with clothes, Chen Zeqi immediately pushed her onto the bed, and Li Jiahui did not resist.

Chen Zeqi lay on the bed, ignoring Li Jiahui who was lying on his side.

Li Jiahui took the initiative to start a conversation, saying, "There is a homeowner in Dalang Bay named Li Jiaxin. She has two sons, and they actually look quite similar to Chuanzhi."

Chen Zeqi immediately frowned and said, "Those are their grandfathers' generation."

"what"

Chen Zeqi said, "Just be respectful to others, don't pry into gossip, and focus more on your own children's education."

"Okay, I'll listen to you. By the way, Chuanzhi still has two years until he graduates from university."

Chen Zeqi said, "Now, he can find a job in the United States and do a good internship. If I approve of him, he can come to my company, but he will need to start as an ordinary employee overseas."

"Okay, thank you!"

"Thank me?"

Li Jiahui nodded without hesitation and said, "You gave me three outstanding sons."

Chen Zeqi was finally moved, stroking his smooth, bare back, but quickly added, "You've never been angry that I've been seeing other women?"

His only 'advantage' was that he didn't have any other women during the four or five years he was dating Li Jiahui.

Moreover, in every relationship he had, it was actually one-on-one. Of course, every time he saw Li Jiahui, he couldn't help but feel a desire to conquer her.

"I'm not angry. All I want to do is protect my son!"

Chen Zeqi immediately said, "Really? Then why are you so cooperative every time?"

"You are their father, what's wrong with me cooperating with you!"

Chen Zeqi was taken aback, but being a seasoned player in love, he naturally wouldn't truly fall for this relationship. (End of Chapter)