The one who spoke to Li Mingde was not Zhang Ruiqiang. If Zhang Ruiqiang wanted Bing City Machinery Company to be listed, he would not look for Li Mingde. It was because he knew that Feng Yu had the final say in Bing City Machinery Company.
The one who spoke to Li Mingde was Bing City's Party Secretary. He also needs the credit to push him up. He knew that Feng Yu was the major shareholder of Bing City Machinery Company and was the true leader of the company.
But after he called Feng Yu, he knew that Feng Yu does not want to be listed. So, he could only speak to Li Mingde. He hoped that Li Mingde could persuade Feng Yu. After all, Feng Yu valued Li Mingde a lot. If not, he would not let Li Mingde retire early and return to the company.
The Party Secretary also felt that Zhang Ruiqiang will not stop him. This was because if he succeeded, the credit will not only belong to him. The government will also get more credit. If Li Mingde was promoted, then Zhang Ruiqiang can also take over. Based on Zhang Ruiqiang's performance in the past two years, Zhang Ruiqiang had the highest chance of taking over. Furthermore, the Provincial No.1 was supporting Zhang Ruiqiang.
There were rumors that the Provincial No.1 will retire at the end of this year. At that time, Zhang Ruiqiang's biggest backer in the province will be gone. Does Zhang Ruiqiang not want to be Bing City's Party Secretary this year? In the government service, one step slower will mean one step slower. If there was any delay, it might be the end of the term.
Li Mingde does not dare to go against the Party Secretary. He could only call Feng Yu for help.
Feng Yu gritted his teeth. Being listed was one of the ways for many companies to raise funds. It was more cost-effective than getting loans, and it could increase the company's value.
But Feng Yu does not want to be listed. It was because it will dilute his shares in Bing City Machinery Company. At least 25% of the company's shares must be issued. Feng Yu and his father's shares will be less than 50%.
Of course, after the company is listed, the value of the shares will rise, and Feng Yu and his father's shares will be worth more. But that was for those who wanted to sell their shares. Feng Yu does not want to sell his Machinery Company shares.
In Feng Yu's previous life, why did many big companies want to be listed? It's not because they want to raise funds. It's because they have investments from venture capitalists. How do venture capitalists make money? It's because they can cash out the shares after the company is listed.
Some companies with good returns or high expectations of investors will have their share prices soar after they get listed, and VCs can dump their shares after the deadline to make money. It is normal for VCs to earn 20 times more.
Venture capitalists usually hold the so-called preferred shares, which are shares that have no voting rights but have guaranteed dividends and can be sold first.
There are also some listed companies to reduce their debt ratio. If you check, you will find that many companies have a lot of debt, but they can still get listed. After the company is listed, they will have money to return to others. This is also a way to cover up their debt.
Of course, there is another benefit. There are not many listed companies now. If the company is listed, it can increase their brand awareness and image. But Bing City Machinery Company does not need this. From the motorcycles onwards, Bing City Machinery Company had become one of the most famous companies in China. Songjiang Motors is also a well-known brand in China, and their products are selling well.
Many profitable companies, especially those with individual ownership or controlling stake, will not be listed. For example, SF Feng Logistics. In Feng Yu's previous life, there were many people who wanted this company to be listed. They even said they can make lots of money after they get listed. But this company refused to be listed because they do not lack money.
The second disadvantage of being listed was that the company's financial reports must be made public. It was not that Bing City Machinery Company had falsified their accounts. It was because Feng Yu does not want his name to appear in the reports and be known by too many people.
Although Feng Yu cannot be invisible, he still needs to keep a low profile. He prefers to keep a low profile.
Feng Yu had wanted to register a holding company in Hong Kong and transfer all his companies' shares to that holding company. But it is very troublesome. Feng Yu must come up with a large sum of money himself.
This is because Hong Kong is still not part of China. If Feng Yu does this, people will think he is transferring his assets overseas. Feng Yu had asked Master Lu for help, but Master Lu said he cannot do it unless Feng Yu uses his own money to sell his shares at normal prices. If not, he might be stopped by the government.
After 1997, after Hong Kong's return to China, it will be much easier for Feng Yu to do this.
Feng Yu thought for a while and decided to wait. Also, it is not a good time for his company to be listed now, especially in China. China's stock market had started to implement the T + 1 system this year. This will reduce the possibility of the stock market being manipulated.
But this year's stock market is also not rational. Because of the Treasury bond futures, many securities companies started to operate against the rules. This is also the year when many securities companies started to manipulate the market. The next two years will be a bear market, and the investors are no longer confident. After the company is listed, the share prices will not rise and might even fall.
Of course, Feng Yu believes that no one is his match in terms of manipulating the market. Whether it was professional knowledge or financial strength, he was definitely second to none in the country.
But Feng Yu does not need to do this, and he does not want to do this. Feng Yu does not want to get into trouble. Even if he can get rid of this trouble, he also does not want people to say that he is a manipulator of the stock market and caused many investors to lose their money.
After the company is listed, the management will be more complicated. Feng Yu does not think that Li Mingde and the rest have the ability to manage the company. They can accept new things, but their speed and ability to accept new things are not as fast as they think.
Also, getting a company listed will cost a lot. From the audit, to the lawyers, etc., the fees are not low. Also, the company will face stricter scrutiny. Every detail will be scrutinized. It will be more troublesome for Feng Yu to transfer all his shares to a holding company in the future, especially this holding company is located in Hong Kong.
There are pros and cons to getting listed. Feng Yu weighed the pros and cons. It does not mean that the company will not be listed in the future. But now, the company will not be listed.
Feng Yu told Li Mingde that even if he cannot handle it, he must handle it. Feng Yu will reward Li Mingde with the shares, and Li Mingde must bear the responsibility. Feng Yu will not let his company get listed at this time because of those government officials' achievements.
Especially … … Feng Yu is not familiar with Bing City's Party Secretary.
Feng Yu told Li Mingde that if he cannot handle it, he will inform him, and he will go back to settle it.
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