Chapter 522 – Stupid rich man
“Director? What did you say? Liu Chuanzhi told you that if we sell out shares to that Manager Feng, he could persuade him to pay 3 times the market value?” Deputy Director Zhao asked.
“That’s what he told me, and he promises that he would succeed.”
“How is he going to succeed? Who would spend 3 times the amount to buy things? Liu Chuanzhi thinks that Feng Yu is an idiot? Even he knew that Feng Yu was wealthy, but all businessmen were smart. I had never heard of a stupid businessman. How can someone so stupid run a successful business?”
Director Li was unpleased and said: “We are discussing what should we do if Liu Chuanzhi really persuaded Feng Yu. Will we agree to Feng Yu’s investment and maintain Liu Chuanzhi and his men’s share proportion?”
“I can tell that Liu Chuanzhi only wants to not let his shares be diluted. Someone had invested in the company, and the percentage of shares held by all the shareholders will surely be lowered. Did they pay for those shares? All of their shares are given to them as a reward by the company! They had gotten so many shares for nothing, and they are still not satisfied? They are not asking for more shares?” Deputy Zhao sneered.
Deputy Director Zhao was the one who opposed to giving Liu Chuanzhi and the rest of the founding staff's shares. The capital was provided by the CAS, and Liu Chuanzhi and his men were taking high salaries and benefits like houses, cars, allowances, etc. These benefits were also on par with the deputy directors. What more do they want?
What should this company that had to perform so well be restructured into a shareholding? It’s all about money. Such a big company and after so many years, they only return the 200,000 RMB capital. Did they hand over a cent of the profits to CAS?
The company’s accounts had the money, why did they not hand over all that money? Previously, the leaders tried to claim reimbursement from Lenovo but were rejected by Liu Chuanzhi. Liu Chuanzhi had no respect for them!
Why you can spend the company’s money and we can’t? You really think that Lenovo company belongs to you?
“Old Zhao, think about this. If we sell out shares to Feng Yu at 3 times the market value, then the shares we hold will be lowered. If we still want to be in control, we need Liu Chuanzhi and his men to be on our side. We are also able to keep Liu Chuanzhi and his men’s motivation by letting them maintain their shares proportion and maintain our control. This is a good thing!” Director Li explained.
“Good thing? If we allowed them to maintain their stakes in the company, then our shares will be diluted further. If we lower their percentage, the impact on us will be lowered, and we can still be in control!” Deputy Zhao said.
The rest of the deputies nodded. They cannot let CAS be at a disadvantage just because they want to take care of Liu Chuanzhi.
“Liu Chuanzhi had also promised that Feng Yu would be investing a large amount, but the shares he is getting will be lesser than what he is supposed to get. Feng Yu would also give the company an important technology and set up a collaboration with Microsoft. This will greatly increase our technologies. Most importantly, Lenovo will be issuing dividends next year. That means we will be getting high returns from Lenovo. Which one of you is capable of doing all these?”
“Wait, Director. Investing a huge amount but getting lesser shares? Do you think that Feng Yu is stupid and rich? This does not make sense at all. I think Liu Chuanzhi is hiding something from us.” Deputy Zhao firmly insists.
Indeed. This was really suspicious. But Liu Chuanzhi did not explain the details to Director Li. He only convinced Director Li that he could persuade Feng Yu.
“I do not care if there is anything fishy about this investment. I only want to know about your decision on Feng Yu’s investment if Liu Chuanzhi is able to convince him.”
Deputy Zhao did not say anything. The rest of the deputies agreed. There were no reasons for them to disagree as they were the ones taking advantage of Feng Yu. This company was set up to make money. With more funds, they would be able to conduct more research and studies. Furthermore, these deputies were close to Liu Chuanzhi’s fellow founders, and they had spoken about this privately.
As for Deputy Zhao’s questions, the rest of the deputies does not need to know the answers. They could just summon Liu Chuanzhi over to question him anytime. Moreover, the deputies knew that Liu Chuanzhi’s father and Director Li were classmates, and Director Li was obviously supporting Liu Chuanzhi. The deputies also do not want to go against their head.
If Liu Chuanzhi is successful, then all of them will benefit from this deal. They will get some credits from this accomplishment. They would also be able to get some research funds from selling their shares. All of them lacked research funds for their studies.
All of the deputies suspect Deputy Zhao had opposed to this deal just because he had lost the director position to Director Li previously. Both of them had clashed several times and can’t stand the sight of each other.
“All of you……. Don’t all of you think that this Feng Yu could be a conman? How can there be such attractive terms? Fine. I shall see how Liu Chuanzhi persuade that Feng Yu! Hmph!”
……
“Manager Feng, let me introduce. This is the Director of CAS, Director Li Fangyuan. Director Li, this is Feng Yu, Manager Feng. He is a businessman who wants to invest in Lenovo.” Liu Chuanzhi introduced both parties at a private room of a restaurant.
“Nice to meet you, Director Li. I had heard from you. You are the most famous scientist in China.” Feng Yu smiled and extended his hand.
“Sigh. I am old now. I can only step back and handle administrative matters. There are so many talented scientists now.” Director Li said modestly.
“How is that possible? I had read one of your articles in a magazine overseas recently. Only the world’s top scientists’ articles were published in that magazine.” Feng Yu said. Hmmmm…. It was Liu Chuanzhi who told him about this.
“Hahaha. Manager Feng, you also like to read science magazines? That article is written by me and some other professors. I cannot take all the credit.” Although Director Li said this, he was smiling proudly. Yes. How can this Manager Feng be a conman? From one look, I can tell that he is a good man!
“I dream of being a scientist since I was young. But I lack the talent. I heard that all scientists are genius and outstanding. Too bad I am not that smart. That’s why I like to do such businesses. How can the products invented by geniuses be a poor product?” Feng Yu purposely said.
Director Li looked at Feng Yu. This young man was willing to invest in Lenovo just because he likes such products? But from what Liu Chuanzhi said, it seems that all of Feng Yu’s businesses involves lots of advanced technologies. But this excuse seems to be a bit ridiculous.
“I am not considered a genius. You speak too highly of me. I heard from Chuanzhi that both of you had spoken more than once and had some initial agreement?” Director Li asked. He felt that the agreed conditions were beneficial to CAS. Could it be that Liu Chuanzhi wanted to get credits and exaggerated the terms?
Feng Yu nodded: “That’s right. I had spoken with Chairman Liu several times and had finalized the initial terms of this deal. He said that the shares percentages of the management staffs and key engineers should not be lowered. I had agreed to this. I will invest using 300 million RMB and CD-ROM technology. I will also set up a meeting between Lenovo and Microsoft. At the end of this deal, I will own 49% of Lenovo, CAS’s share proportion will be lowered to 37% and will get 100 million RMB cash. The employees’ shares will be increased to 6%. Chairman Liu, am I right?”
Liu Chuanzhi quickly replied: “Yes, yes, yes. This was what we concluded.”
Director Li was relieved. If anyone in CAS still wants to disagree with these conditions, he or she must be an idiot. He looked at Feng Yu and in his heart: Spending so much money just because of his interest? This Manager Feng was a classic example of a stupid rich man!
Translator’s notes: I know the percentages of the shares does not add up to 100%. I had translated the chapter based on what was written.
Feng Yu: 49%
Employees: 6%
CAS: 37%
Where is the remaining 8%? The author did not state who owns the remaining 8%. It might be a miscalculation on his part. Could it be that Feng Yu had secretly acquired the remaining shares? Or the author does not know how to count, and that’s why he is an author now?