Chapter 616: Fighting for expenses and not taking the usual path

The 950 million tradable shares repurchased by Charming Semiconductor were not kept in the account for a long time. Instead, they were all canceled after completing all the procedures.

Previously, Charming Semiconductor's total share capital was 26.1 billion shares. After canceling 950 million circulating shares, the company's total share capital became 25.15 billion shares.

Charming Semiconductor used a total of 2.47 billion yuan in capital for this stock repurchase.

Many people know what the current situation of Charming Semiconductor is, and everyone regards this huge investment in stock repurchases as a dying struggle for the company.

But then, Charming Semiconductor issued successive announcements saying:

The company will issue 20 billion yuan of corporate bonds and borrow 10 billion yuan from banks...

The 20 billion yuan of corporate bonds issued by the company have been fully subscribed by Hi-tech Venture Capital Fund...

The company's 10 billion yuan loan has been approved and transferred to the account...

"I don't understand! You said that Charming Semiconductor has been suppressed by others and has almost lost its market. How come there are still funds injected into it?"

"Don't you understand this? Charming Semiconductor is the core company of the Huijia Group. What does the Huijia Group do? They are financial giants, and they can still spend tens of billions. But it is a pity that so much money will eventually be lost.

If you can only lose money, you might as well save money in the bank."

It’s really an incomprehensible operation. The market did not respond positively to Charming Semiconductor’s financing.

Charming Semiconductor's stock price is still so lifeless, fluctuating around the price of 2.50 yuan.

Xiangjiang.

Li Kailong, Weber and others met again. Everyone was sitting together drinking coffee, but the expressions on their faces were indescribably solemn.

Although North America's measures to suppress Charming Semiconductor have achieved initial results, they have not helped Wesley (South China)'s predicament.

So what if Wesley wins the lawsuit in North America? After all, their hands are not that long and they cannot reach the country at all.

Stone Technology took its time and refuted the absurd behavior of Wesley and the fruit company in the relevant media. Unfair competition? That does not exist. Besides, if this matter is to be litigated, it should be filed in China, right?

North America has nothing to say about this matter.

"Mr. Weber, in fact, we all know that suing Nishite Technology in North America is just a cover. Our purpose is to promote greater suppression of Charming Semiconductor.

It stands to reason that Charming Semiconductor has been under so much pressure that Huijia should have compromised. But I tentatively contacted Chen Jialin's father, Chen Hao, hoping that the other party would come forward to persuade Hu Yang, but for some unknown reason, Chen Hao had already cut off the offer.

Contact us."

Li Kailong, Weber and others have done so many things, but their ultimate goal is to preserve the basic base of Wesley (South China).

At this point, the interests of the fruit companies are consistent with theirs.

However, Fruit Company has another idea, which is that it would be best if Charming Electronics could also reduce some of the intensity of competition.

Therefore, while they are filing lawsuits in North America on the surface, they are secretly promoting the suppression of Charming Semiconductor.

In their opinion, Huijia Department will definitely give in in the end.

Then, they can force Stubborn Technology to give in on the condition that they slightly relax their suppression of Charming Semiconductor.

As for Liu Jia's case, it was just a small trick that could not be brought to the forefront, and there was no expectation that it would achieve much.

However, several aspects have been launched so far, and the Huijia Department's attitude is still very tough. Not only has Nushi Technology continued to press hard, but Charming Electronics is also intensifying its market competition with fruit companies.

"Mr. Li, it seems that Huijia Group cannot make concessions so easily. Charming Semiconductor has just raised 30 billion yuan in funds, and it is estimated that it is planning to resist!"

Weber already had a bad feeling. No matter when the Huijia system collapsed, there was a high probability that Wesley (South China) would collapse before others.

"Then what should we do? Should we find a way to continue lobbying North America and suppress a core company of Huijia Group? For example, like Xentong International..."

Li Kailong made up his mind and prepared to work with Weber to push forward the motion to suppress the Huijia Group again. This time, he set his sights on Xentong International.

"Well, it's hard to say whether it will succeed or not. I can only say give it a try. In addition, the fruit company has to be involved in this matter, because by suppressing the arrogance of the Huijia family, they can still gain great benefits."

Fruit Company has always been at a disadvantage in the competition with Charming Electronics. If it hadn't been for the suppression of Charming Semiconductor, which resulted in Charming Electronics' products being temporarily unable to enter North America, Fruit Company might have been defeated at home.

After the two parties discussed it, Weber and others said goodbye and left.

Naturally, Weber was responsible for the lobbying work in North America. Li Kailong decided to continue to put pressure on the relevant parties in the mainland and asked the provincial department to hand over Liu Jia to the Xiangjiang side.

In fact, he himself also knew that Hu Yang and Chen Jialin had already stated their attitude on this matter, that is, they would not exchange personal interests for the interests of the company.

But Li Kailong did this to a large extent to vent his inner dissatisfaction.

deep sea.

Liu Jia's matter has not been finalized yet, so Chen Jialin held his breath and continued to increase the pressure on Wesley (South China).

Charming Electronics is similar. It is competing fiercely with fruit companies domestically, in surrounding markets, and in Europe.

Especially in the European market, Charming Electronics and Mingkang Communications have joined forces to squeeze the fruit company's market share, causing a huge headache for the fruit company's management.

The fruit company has lowered its profit forecast for the fourth quarter and reduced some of its orders to Wesley (South China).

In view of this, Nishite Technology continues to expand its market share.

The large-scale factory established by Nishite Technology in Zhongyuan City directly released terrible production capacity. Not to mention Wesley, even Hon Hai was envious.

At this time, Charming Semiconductor suddenly announced that the company plans to invest 19.5 billion yuan to build five new factories, located in Shenhai, Shanghai, Jianghan, HF and Chengdu.

As soon as this announcement came out, the market was in an uproar.

Even the giants in the industry, such as S Star, don’t understand what Charming Semiconductor is doing!

The current memory chip market, including the prices of flash memory and memory, is falling rapidly. Of course, S Star is behind this, and at the same time, they have also considered countercyclical investment.

However, countercyclical investment is not something you can do just by having money. You must also have a sufficient market and launch a newer generation of products.

What does Charming Semiconductor have?

It is undeniable that Charming Semiconductor's technical level has advanced by leaps and bounds in the past two years. Especially in the area of ​​flash memory, it has at least equaled S Star, and even surpassed it to a certain extent.

However, Charming Semiconductor does not have a relatively relaxed development environment. The suppression in North America has caused Charming Semiconductor to lose many customers, and its market share continues to shrink.

Under such circumstances, Charming Semiconductor wants to invest in counter-cyclical investment and build factories, which is really desperate.

According to S Star's estimation, this rising star of memory chips is at risk of extinction within one year at most.

"Good thing! This is a great thing!"

The top management of S Star made an accurate judgment and also terminated this round of countercyclical investment plan. They thought very clearly that if they did not take advantage of this opportunity, they would be sorry for themselves.

To put it bluntly, S Star plans to acquire the other party’s factory at a very low price when Charming Semiconductor cannot persist.

If it can achieve its goal, S Star can save tens of billions in construction costs.

When Hu Yang learned that S Star had suspended his investment plan, he immediately figured out what the other party was planning.

But he didn't care. If Charming Semiconductor was defeated like this, wouldn't it be underestimating the overall strength of the Huijia system?

According to Hu Yang's own estimation, Charming Semiconductor's latest generation of flash memory products will be ready for mass production in three to six months at most. The current research and development work has made breakthrough progress, and from a technical perspective, it has become the world's most advanced flash memory product.

cutting edge.

The technological advancement this time is not the planned 64-layer stacked flash memory, but the expansion of 32-layer stacking technology, which is considered the N+1 generation in terms of technology.

However, the overall performance of the new product has been greatly improved, and the overall performance can actually be improved by 57%.

This is the first time that Charming Semiconductor is about to have world-leading technology. Yang Chenglin and Sakamoto Takuya have basically lived in Charming Research Institute recently.

"Mr. Yan, allocate another 1 billion yuan in R&D funds to Charming Research Institute. Tell them that I need not only N+1 generation technology, but also 64-layer stacking technology."

The research and development work of the N+1 generation of 32-layer stacking technology is coming to an end. Hu Yang asked Yan Hanzhang to invest heavily in research and development funds again for the future 64-layer stacking technology.

"Mr. Hu, according to the technology roadmap, Mr. Yang and the others were originally going to study the N+2 generation."

Yan Hanzhang sat in Hu Yang's office and carefully defended himself.

"No, no, there is no need to be so cautious. We should trust the technical strength of Charming Research Institute. This matter is settled. After the N+1 generation, we will directly develop 64-layer stacking technology."

The technical roadmap determined by Yan Hanzhang and others cannot be said to be wrong. Sometimes running fast in small steps is also a good strategy.

But today is different from the past. Charming Semiconductor is facing huge pressure from North America. If it cannot stand out technologically, the company will remain dormant for at least five years.

In five years, not to mention a lot of changes, but many things will become different.

"Okay, I will personally go to Magic City in the next two days and have a good talk with Mr. Yang and Mr. Takuya Sakamoto."

In fact, what Yan Hanzhang said sounded nice. The technological advancement of small-step trotting was still his idea.

If Yang Chenglin and Sakamoto Takuya heard that the company was planning to develop 64-layer stacking technology, it would be too late to be happy.

However, Hu Yang didn't say anything and sent Yan Hanzhang away with just a few words.

Later, Hu Yang asked Wu Xinhui to call Yu Hongbo.

"Lao Yu, how has the stock price of Charming Semiconductor been in the past two days?"

Hu Yang doesn't have time to stare at the computer every day. He has a group of professionals under him, so he certainly doesn't have to do everything by himself.

Yu Hongbo smiled bitterly and said: "Boss, it stands to reason that such a large investment should boost market confidence. However, the company's stock price still hovers between 2.50 yuan and 3.0 yuan."

"Oh? So the market doesn't buy it. That's right. People nowadays are basically afraid of certain superpowers. I guess most people are not optimistic about the future development of Charming Semiconductor."

Hu Yang thought for a moment and understood the key here.

Since most people think that the company cannot withstand the pressure from North America, no matter how large the company invests, people will only think that it is a return to the past.
To be continued...