On January 11, Li Bin, founder of Zhilu capital, delivered a new year’s speech as the chairman of Beijing Centergate Technologies (Holding) Co.Ltd(000931) Rongxin financial information industry alliance. In his speech, Li Bin used euphemism to respond to various concerns and doubts about Zhilu capital with dialectical comparisons such as “big and small” and “evolution and competition”.
Recently, Zhilu Jianguang, a venture capital institution that emerged due to the reorganization of Ziguang group, has gradually become known to the outside world. On December 10, 2021, the listed company Unigroup Guoxin Microelectronics Co.Ltd(002049) (002049) of Ziguang group announced that the consortium composed of Beijing Zhilu Asset Management Co., Ltd. (Zhilu capital) and Beijing Jianguang Asset Management Co., Ltd. (Jianguang assets) as the lead party is the strategic investor for the substantive merger and reorganization of seven enterprises such as Ziguang group, Promote the signing of restructuring investment agreement and the formulation of draft restructuring plan with strategic investors according to law.
On December 29, 2021, the second creditors’ meeting and investors’ group meeting of the substantive merger and reorganization proposal of Ziguang group were held, and the reorganization plan of Ziguang group was voted by the creditors. The subsequent process will be to apply for the court’s ruling for approval. After the court makes a ruling within 30 days, it can apply for asset delivery.
The outside world questioned the scale and strength of Zhilu capital, but Li Bin did not respond positively. Li Bin said in his speech that he used “big and small” to compare and make an indirect response. “Enterprises should also let nature take its course. They can be big or small, rise or fall, rise or hide. They should seize the opportunity and wait patiently when there is no opportunity. Those who seem strong will gradually decline in the bad direction if there is no good governance and mechanism. Those who seem weak and small, with good strategies and practices, will gradually become strong in the good direction.”
He also stressed that for enterprises, the layout should be large and small, the investment should be light and heavy, there should be no short and long for a time, and there should be no demand for the size of the scale. When the business becomes bigger, the efficiency will be reduced, the risks will become greater, and there will be more weaknesses. Therefore, the larger the enterprise, the more modest and cautious it should be. On the contrary, small entities can let go of trial and error. Therefore, many innovative undertakings are done by small companies. So be cautious when you are old and brave when you are young.
Turning to the topic of evolution and competition, Li Bin said that people often have a misconception that competitors limit their own development and various problems hinder your progress. In fact, from another perspective, competitors are like partners. Only competition can make you find deficiencies and promote your progress. Problems are like lighthouses. Research and solution will enable you to find directions, guide you forward and help you reach new heights step by step. “Don\’t be afraid of competition, but learn from, respect and thank your competitors; don\’t be afraid of difficulties, but face them directly, study and solve them. The stronger your competitors are, the more you grow; the bigger the problems are, the higher your achievements are.”
On December 16, 2021, in response to Zhao Weiguo’s report, the manager of Ziguang group said in a statement that in the past few years, Zhao Weiguo manipulated Ziguang group to frequently carry out domestic and foreign M & A and expansion through huge financing, resulting in excessive debt scale. In addition, due to poor management, Ziguang group broke out a debt crisis in 2020, dried up cash flow and was unable to repay huge matured debts at home and abroad, The group and its subordinate entities are faced with major risks such as asset seizure, account freezing and financing depletion, and the enterprise operation is in a serious dilemma that is difficult to maintain.
Li Bin also reiterated the business models of Zhilu capital and Jianguang assets in this speech. Li Bin believes that the business model of Zhilu capital and Jianguang assets is different from that of simple enterprises or investment institutions. It is a two wheel drive model focusing on the combination of holding technology investment and strategic industrial operation in the core technology field.
\u3000\u3000 “Compared with pure investment institutions that can only pursue financial returns, we need to have a deeper understanding of the technology industry, industry accumulation and post investment management empowerment. We have the ability to take root for a long time, choose a good management team, deeply participate in enterprise development and strategy formulation, and help enterprises obtain greater long-term benefits and competitiveness. Compared with a single entity, enterprises only work in a certain segment We have accumulated a lot in the field, but not in other links. Through holding strategic investment, we cover the upstream and downstream of the industrial chain, such as R & D, design, manufacturing, sealing and testing, software, materials, equipment, modules and so on. Both in terms of development speed and coverage, we will be faster and more comprehensive than a single enterprise subject, and our talents and experience will be more diversified Marketization, which provides better coordination and guarantee for the health and development of each enterprise. ” Li Bin revealed that the four factories recently acquired by Riyuexin in mainland China were renamed Riyuexin. The previously acquired Singapore joint test UTAC group and PTI company acquired Yibai technology, a wafer carrier enterprise, in terms of materials, and established AAMI, a joint venture of lead frame with ASM, which further improved the layout of the Alliance in the field of back channel sealing test, modules and materials.
Li Bin said that as a team and fund manager, to assume the responsibility of project management and industrial operation, we must first enable investors and partners to obtain most of the benefits and exchange our small benefits for social benefits. Only in this way can more institutions be willing to cooperate with us. Secondly, it is very important to attract and retain talents. The front-line core executives, R & D, production, marketing, sales and operation talents are the most valuable wealth. “We must recruit talents from all over the world. Heroes don\’t ask the source.” Finally, consider the interests of investment institutions. “Our modern entrepreneurs and financiers should have such a responsibility and realm.”
According to public data, Zhilu Construction & Broadcasting consortium has led a series of holding M & A projects in core technology fields such as large-scale semiconductor, mobile communication and intelligent manufacturing covering many countries and regions around the world.
Beijing Zhilu Asset Management Co., Ltd. is a global and market-oriented industrial investment organization. Zhilu capital has an investment management team with international background and rich practical experience. Beijing Jianguang Asset Management Co., Ltd., established in January 2014, is a private equity fund management company focusing on investment and M & A of integrated circuit industry and strategic emerging industries.
According to the official website of Beijing Centergate Technologies (Holding) Co.Ltd(000931) Rongxin financial information industry alliance, the alliance is a non-profit legal association jointly initiated and established by a number of science and technology enterprises, commercial banks and investment institutions in the spirit of “sharing and creating value” to support the ecological development of strategic emerging industries and approved by Beijing Municipal Bureau of civil affairs.
The purpose of the alliance is to strengthen the research on industrial strategic layout, support industrial ecological development, establish an efficient investment and financing platform and cooperation and exchange platform, and promote the common development of investment and financing parties and industry. The alliance has 23 governing units and more than 100 member units. Zhilu capital and Jianguang assets are the core members of the alliance, and Li Bin serves as the chairman of the alliance.
