Water and Fire~Chapter 5: Xiao Chu is Not Bad

 

Chapter 5: Xiao Chu is Not Bad

Two days later, several agencies met at Hanhai Home Textiles for a formal project kick-off meeting. Zhou Hanhai, along with company executives; Ren Yan, along with Qin Qianyu and three other project team members; Zhang Teng, along with Chu Qianmiao; and the accounting and appraiser teams, all gathered in the Hanhai Home Textiles conference room in a grand atmosphere.

After mentally preparing herself the night before to "get over him too," when she saw Ren Yan again today, Chu Qianmiao almost rushed over to shake his hand and say, "Hello, Mr. Ren. Nice to meet you.

Thinking of this, she couldn't help but laugh, feeling like a bit of a dramatic actress.

The meeting was chaired by Ren Yan. He first introduced the company's basic situation and the various partners involved, and then led everyone in determining the project's timeline.

When would the restructuring benchmark date be set? When would the company enter the IPO guidance period? How long would it take the various intermediaries to prepare the application materials? When would their brokerage firm likely hold its internal review meeting? And when would they likely submit their application materials to the China Securities Regulatory Commission?

He controlled the pace of the meetings, the project's progress, and every crucial milestone. Every decision he made was precise, decisive, and well-timed.

Chu Qianmiao had come to realize that time doesn't leave its cruel mark on everyone. It can also be kind to some, shaping them into excellence and even greater charm.

Chu Qianmiao thought Ren Yan was one of those people favored by time.

She mentally encouraged herself, hoping that she, too, would be favored by time in the future, growing into excellence and charm.

After the general direction and steps of the project were finalized, Ren Yan said to Zhou Hanhai, "Mr. Zhou, before the restructuring, I need to confirm one thing with you: whether the company will involve a share transfer and the introduction of a private equity fund. These matters involving changes in the company's equity should ideally be completed before the restructuring."

Zhou Hanhai thought for a moment and said, "I have a few friends who helped me a lot when I started this company. I'm going to transfer some shares to them as a token of gratitude. I might also give some shares to key employees as equity incentives."

Hearing this, Chu Qianmiao couldn't help but look up at Zhou Hanhai. He truly was a magnanimous boss. She had been working on projects with Zhang Teng for a year, and while she'd met a few private business owners, she'd never met one as generous with equity as Zhou Hanhai.

Most of the private business owners she'd met were the exact opposite type—they wanted to go public to raise capital, but they didn't want to distribute or dilute their holdings in any way. They simply wished they could both go public and keep all the equity firmly in their hands.

If you explain to him that a company seeking to go public has a rigid tradable shareholding ratio requirement, and failing to meet that ratio means it fails to meet the listing requirements, he'll even blame the CSRC's rules as "too rigid and unreasonable."

Compared to him, Zhou Hanhai is a true gem of an entrepreneur.

After a pause, Zhou Hanhai turned to Ren Yan, "As for whether or not to introduce a private equity fund, I'm still undecided. Mr. Ren, I'd like to get your advice on this matter. Is it really necessary for me to introduce this private equity fund?"

After hearing Zhou Hanhai's question, Chu Qianmiao looked at him, then glanced at Ren Yan. She wanted to see what Ren Yan would say.

But her gaze towards Ren Yan happened to meet his...

"Perfect," Ren Yan caught her eye, following the clues. "Regarding the question of whether to introduce private equity, you can ask Lawyer Chu to help you with the legal aspects."

Chu Qianmiao quickly pondered in her mind—was he testing her to see if she could handle the project?

Although she was young and inexperienced, she wasn't afraid at all.

Chu Qianmiao maintained a calm and composed demeanor. Even though the conference room was crowded with people, each more experienced than she, and the heads of various institutions were all well-known experts in their respective fields, any misstep would be exposed to them. But she felt no nervousness at all. If she dared to have even a seemingly irrelevant dream, what else could she be afraid of? She spoke crisply.

"Mr. Zhou, the question of whether to introduce private equity is actually quite simple. It all depends on whether the company will need funds during the IPO preparation period. Based on the IPO schedule we've just outlined, the company will likely need about a year to complete the restructuring, IPO guidance, filing applications, and successfully list, provided everything goes smoothly."

She spoke clearly, calmly, and composedly.

"According to regulations, a proposed listed company's equity must remain stable for one year after its shareholding reform. This means you can't raise funds through equity between the time of the shareholding reform and the time of IPO. You can only decide whether to raise funds through equity before the shareholding reform."

She paused, glancing quickly at Ren Yan. His expression was unreadable.

She calmed herself and continued, "Our advice is that if you believe your company isn't short of cash during the IPO period, then there's no need to bring in private equity. However, if you believe your company might need funding within the next year, we recommend bringing in a private equity fund before the share reform. If you bring in a reputable, large private equity firm, it can also serve as an endorsement for your company, which will not only enhance your company's image but also increase the chances of a successful IPO."

She looked at Zhou Hanhai, then at Ren Yan. This was the first time she had spoken so formally about a project in her entire career. She felt her answer was quite good, flowing smoothly without any nervous stumbling.

Ren Yan also looked at her and gave her a surprising nod.

"Lawyer Chu explained it very clearly."

Chu Qianmiao was delighted to notice that Ren Yan had changed his address for her, from "Little Lawyer Chu" to "Lawyer Chu." She wondered if this slight difference in address was a sign of recognition for her performance.

She felt a little smug.

"Also, Mr. Zhou, I have one more point to add," Ren Yan said. "After the company's stock is issued and listed, the amount of funds raised can be roughly calculated based on the issuance quota and the issue price. Regulations require an 18-month wait before further financing is required after the initial IPO. Therefore, if the funds raised within 18 months after the company's listing don't meet all of its funding needs, I suggest you bring in private equity investors now and use the proceeds to fill future funding gaps."

Chu Qianmiao realized that Ren Yan's explanation had given a more comprehensive answer to the question.

She quietly put away her complacency.

Okay, she admitted she wasn't a freshman yet, while he was a seasoned veteran.

Zhou Hanhai listened to Ren Yan's explanation and nodded slowly. After a moment, he said, "I can't decide whether to bring in private equity or not. I'll work with the company's key personnel to analyze the situation and let you know the decision as soon as possible."

The meeting came to a close, and the sound of chairs scraping against the floor filled the air. Everyone dispersed.

Qin Qianyu suddenly spoke up, "Please wait a moment! Leaders and colleagues who didn't bring business cards today, please leave me your contact information and email addresses. I'll add everyone present to the project directory and send it to everyone, so we can easily contact each other about project-related matters."

After he finished speaking, several accountants approached Qin Qianyu to give him their contact information.

Zhou Hanhai smiled and said to Ren Yan, "The soldiers trained by President Ren are different. They work meticulously and methodically!"

Ren Yan raised the corner of his mouth and smiled, "As you should. Soldiers trained for projects must be good soldiers."

As he spoke, he glanced at Chu Qianmiao, intentionally or not.

Chu Qianmiao immediately felt a little uneasy.

What did he mean? Why was he looking at her? Wasn't she a good soldier?

He really wanted to provoke Zhang Teng into a fight, just to protect his son...

Zhou Hanhai exchanged a few more pleasantries and said, "I have to take my executives to a meeting with suppliers soon. We'll be leaving now. I'll treat everyone to dinner another day."

Zhou Hanhai said goodbye to the others and left with the executives.

Chu Qianmiao fell into a brief moment of thought. Zhang Teng tapped her head with a pen and asked, "What are you daydreaming about? Pack up and get ready to go."

Chu Qianmiao came back to her senses and whispered, "Lawyer Zhang, how did I do today? Did I get stage fright?"

Zhang Teng smiled, "Oh, so you're trying to get some praise from me!"

Chu Qianmiao asked devoutly, "You think I'm an indispensable general under your command, right?"

Ren Yan said Qin Qianyu was his best soldier, so she wanted to be promoted. She wanted to be one of Zhang Teng's best generals. She couldn't lose!

Zhang Teng smiled, "That's for sure."

Chu Qianmiao was delighted. After a pause, Zhang Teng added, "After all, I have no one else under my command besides you. You're truly indispensable."

Chu Qianmiao: "..."

She felt so sad. Why was it so hard for her to hear the affirmation and praise she wanted?

Zhang Teng, while sorting through his briefcase, said, "Qianmiao, please write a memorandum of today's meeting and send it to me later."

Chu Qianmiao said, "Oh."

"Please send a copy to us too," Ren Yan's voice suddenly rang out from the side.

Chu Qianmiao looked up and saw Ren Yan approaching.

Zhang Teng quickly said it was no problem and urged Chu Qianmiao to write a good memorandum. He also told Ren Yan to take care of Chu Qianmiao if she had any shortcomings in the project.

Ren Yan smiled and said to Zhang Teng, "Lawyer Zhang, you're so polite. Your assistant is quite good. Although young and inexperienced, she's quite composed when speaking in meetings. That's rare."

Chu Qianmiao had been looking downcast, but when she heard Ren Yan say this, she was stunned.

Then a surge of joy began to well up in her heart.

Why did she love compliments so much! Especially when it came from a handsome man who looked so high-quality and familiar.

She looked up at Ren Yan. But Ren Yan didn't look at her, speaking only to Zhang Teng.

Zhang Teng kept saying, "No, no, no, Mr. Ren, you're too kind. I, your assistant, still have a lot of work to do."

At this moment, Ren Yan spoke again. This time, his voice was filled with a hint of joking. "No prize, this young woman under your command, with more training, will surely become an indispensable member of your team in the future."

Zhang Teng burst into laughter, saying that President Ren had a real sense of humor.

Faced with Zhang Teng's awkward compliment to Ren Yan, Chu Qianmiao remarked, "..."

What a joke! Was he just teasing her?

Watching Ren Yan saunter out of the meeting room with his hands in his pockets, Chu Qianmiao felt an itch... I just wanted to pick a fight with him!

***

A few days later, Chu Qianmiao received a call from Qin Qianyu, who informed her that Zhou Hanhai had decided to bring in a private equity fund.

Two days later, they held another intermediary coordination meeting at Hanhai Home Textiles. Based on Zhou Hanhai's description, Ren Yan helped him redesign the company's equity structure. Some shares would be transferred to friends, some would be used for equity incentives, and some would be transferred to the private equity fund for equity financing.

Ren Yan looked at the final shareholding structure and asked Zhou Hanhai, "Mr. Zhou, doesn't this create a bit of a dispersed ownership structure?"

Zhou Hanhai said generously, "It doesn't matter. You see, I'm still the controlling shareholder."

Chu Qianmiao was truly impressed by Zhou Hanhai's generosity. She was willing to work on projects for someone like him and put in the hard work, because she knew that someone like Zhou Hanhai would see and take to heart all the hard work you put in; he wouldn't let your efforts go in vain. Just look at his attitude toward the friends who had helped him during his start-up days.

After finalizing the private equity fund, other restructuring work began to progress.

Several intermediaries scheduled another meeting to discuss various restructuring matters. Before graduation, Chu Qianmiao's impression of investment banks was that they offered a lot of money. After starting work, she realized that investment banks actually offer a lot.

And this meeting notice was like a bombshell.

As luck would have it, Chu Qianmiao had just finished receiving two harassing phone calls. Each caller, speaking in a thick accent, asked, "Do you want a loan from Alcoa? We have very low interest rates."

So when her phone rang again, she saw it was from another number she hadn't saved, and even the middle number was the same. She couldn't help but answer the call and launch into a tirade: "Brother, listen carefully! I won't lend money to Alcoa, no matter how low the interest rate is! And if you call me again, I'll buy a 'call-to-death' app and call you out!"

It took a long while for her to finish her words before a voice came back through the receiver.

She was stunned.

"Please ask Lawyer Chu to tell Lawyer Zhang to come to Litong Securities for a meeting tomorrow," Ren Yan's voice came through coldly and indifferently.

Chu Qianmiao felt like her heart was about to burst.