The Chinese New Year loves to send red envelopes to the wall, the secret past of 120 billion square

Mondo Social Updated on 2024-02-01

Are you still counting how many year-end bonuses you've gotten?

Let's take a look at this boss, last week, a corporate year-end bonus found that the golden wall of ** spread all over the Internet. This company that loves to discover the golden wall is Fangda Group. Fangda is a huge enterprise with 5 listed companies, including Fangda Carbon, Fangda Special Steel, Northeast Pharmaceutical, and Zhongxing Commercial, with a total market value of more than 120 billion yuan. In addition, Fang Wei, the chairman of the board who was born in 1973, also created the Fang Da series, which is well-known in China's financial capital circle.

Fang Wei, chairman of the board of directors of Fangda, recently conducted research in his subordinate enterprises, and he suggested that each employee of the two companies should pay 10,000 yuan. This time, Fangda plans to distribute more than 80 million red envelopes to the current and retired employees of the two listed companies. It is worth mentioning that Fangda also acquired HNA Group, which has been experiencing debt problems in 2021. In January this year, Fang Wei said when investigating HNA that although the aviation sector is a small profit, butIt is recommended that profitable enterprises give 10,000 yuan of red envelopes to each ordinary employee, and loss-making enterprises give 5,000 yuan of red envelopes to each ordinary employee.

The boss issued a year-end bonus and found that the golden wall was not the first operation of Boss Fang. As early as 2018, a section of Jiujiang Pinggang Iron and Steel was found to be a wall of gold at the end of the year, and it became popular on the Internet. Of course, this steel company is a wholly-owned subsidiary of Fangda Group, and what is more eye-catching is the banner behind the cash wall that reads "Heartfelt thanks to Chairman Fang Wei for his deep love for the employees of Jiugang".

What did Fang Wei, who was born in a peasant family, rely on to become the CEO of a state-owned enterprise at the age of 29 and a listed company at the age of 33? Deeply mired in investigation and suspicion many times, how can Fangda stand tall in the domestic capital market?

Compared with the arrogance of discovering the Golden Wall, Fang Wei's own style of acting is unexpectedly low-key, he rarely appears in public events, and he has hardly been interviewed.

According to reports, Fang Wei grew up in Wangjia Town, Hunnan District, Shenyang City. In the 80s of the last century, the economic conditions of the Fang family were poor, and Fang Wei's father used to collect scrap products such as iron sheets, wires, and iron rods for a living. According to the memories of local villagers, when Fang Wei graduated from high school, his father had already become the captain of the new steel production team in Fushun City, and Fang Wei later followed his father to the steel mill as an apprentice. In the 90s, Fang Wei's father went to the sea to do business and opened a nut factory, mainly engaged in the production of screws and screw caps, and Fang Wei's family gradually began to improve.

Regarding Fang Wei's family history, many versions have been circulated on the Internet. The more mainstream theory is that it originated from the transformation of enterprises in Northeast China in the 90s. At that time, a state-owned steel mill owed Fang Wei's father a lot of money for his nut factory, and the company had to use an iron ore mine as collateral. Soon, this iron mine was acquired by Fang Wei, and in the following years, the iron ore ** soared, and Fang Wei obtained the first pot of gold.

Regarding this rumor, many people bluntly said that this state-owned enterprise was actually Fushun New Steel at that time, and Fang Wei had doubled in about half a year after getting the iron ore. In 2002, Fangwei's company acquired Fushun Carbon Factory. A year later, Fangda successively acquired state-owned enterprises in the carbon field such as Shenyang Coking Gas, Chengdu Rongguang Carbon, and Hefei Carbon, and finally integrated into Fangda Carbon. In June 2006, Fangda took over the management rights of Lanzhou Hailong Technology, a state-owned enterprise in Gansu, and officially entered the capital market.

In 2009, Fangda moved to Jiangxi again, with the goal of winning the state-owned enterprise Nanchang Iron and Steel. In the bidding of many enterprises, Fangda Group won 57 of Nanchang Iron and Steel in one fell swoop97% equity to achieve control of Nanchang Iron and Steel. Changli Co., Ltd., a listed company under Nanchang Iron and Steel, was also renamed Fangda Special Steel. Fangda Group has turned into a steel giant again. After the successful acquisition of Nanchang Iron and Steel, Fangda successively included Jiangxi small and medium-sized iron and steel plants under its umbrella, including Jiujiang Pinggang, which found the golden wall with an 18-year year-end award.

Before 2021, Fangda Group has held four listed companies: Fangda Carbon, Fangda Special Steel, Northeast Pharmaceutical, and Zhongxing Commercial, and these companies are all through mergers and acquisitions of state-owned enterprises, and all of these companies have turned losses into profits after Fangda took over.

Fang Wei, who used private capital to acquire state-owned enterprises, quickly turned losses into profits, and repeatedly realized that he swallowed elephants with snakes, was soon called the "state-owned asset hunter" in the capital market. But is there any lesser-known insider story behind all this?

In 2014, the Liaoning Provincial People's Congress removed Fang Wei from his post as a deputy to the 12th National People's Congress. This dismissal once caused Fang Wei to lose contact, but in fact, Fang Wei did disappear for half a year. Regarding the dismissal of the 2014 National People's Congress, discerning people can see at a glance that this is Fang Wei, as a star entrepreneur, who was involved in the Liaoning People's Congress bribery case, but the reality is not only that.

At the beginning of 2014, a deputy state-level leading cadre Ma who frequently intersected with the trajectories of Shitu and Fang Wei's acquisition of state-owned enterprises. According to public information, this leader has served in Jilin, Gansu and Jiangxi, serving as the number one. In particular, from 2007 to 2013, this leader served as secretary of the Jiangxi Provincial Party Committee. Fangda Group completed the acquisition of state-owned assets such as Nanchang Iron and Steel and Pingxiang Iron and Steel.

However, the fall of the top did not affect Fangda's continued expansion. In 2021, Fangda, who does not have any experience in airline management, settled in Hainan Airlines in one fell swoop.

At that time, Fosun Group, which competed with Fangda, not only had strong capital strength, but also had a stronger corporate brand influence. JuneYao Group, another company that is bound to win, already owns Juneyao Airlines and has more extensive management experience in the aviation industry. In contrast, Fangda Group is seen as the weakest bidder for HNA Holdings.

However, no one expected that Fang Da would eventually become the winning bidder. Some people think that HNA had many problems at that time, but in fact, it was just trying to find a good seller, and the one with the highest price would get it. At that time, JuneYao Group invested 30 billion yuan, Fosun Group invested 40 billion yuan, and Fangda Group invested 41 billion yuan. There are also ** analysts who believe that Fangda Group has a very rich ability to deal with inferior assets, and what it is best at is to turn losses into profits and help non-performing enterprises quickly return to normal operating levels. Before Fangwei's acquisition of Liaoning Fushun Carbon, the merger and acquisition of Nanchang Iron and Steel Group, and the first state-owned non-performing enterprise, they all finally turned losses into profits.

HNA's debt crisis has caused a lot of turmoil in the capital market, and Fangda's holding of HNA means that the business empire of Fang Wei, a capital merger and acquisition maniac, has been expanded again, and it has also ushered in the second spring of the airline, which is already on the verge of a thunderstorm. HNA Aviation Group announced that it will achieve revenue of 122.6 billion yuan in 2023, an increase of 110% over the same period in 2022, achieving the first operating profit in the past five years, and achieving remarkable management results. Among them, revenue increased by 149 percent year-on-year57%。

In terms of revenue passenger kilometres, the current HNA has only recovered 70 percent of its 2019 levels32% of routes. But Chairman Fang Wei has already begun to plan for HNA. As of January 2024, the total market value of HNA Holdings is 59.2 billion yuan, and the total market value of Fangda Carbon, Fangda Special Steel, Northeast Pharmaceutical, and Zhongxing Commercial is only 39.4 billion yuan, which is less than 70% of the total market value of HNA Holdings. Fang Wei's ** wave was obviously successful again.

What's even more interesting is that HNA employees soon received a unique cash wall reward from Fangda Group. At the beginning of 2022, HNA employees who had just taken control of Hainan Airlines for only a month and were still struggling with the epidemic also received an unexpected surprise from Fang Wei. The internal staff letter of HNA Group wrote: Considering that Hainan Airlines has just joined the Fangda Group family for just one month, and 2022 is the first year of reorganization and take-off, in order to boost enthusiasm and morale, Fang Wei, chairman of the board of directors of Fangda Group, suggested that all eligible employees of HNA Airlines be given 5,000 yuan in red envelopes each.

In the "2023 Hurun Report" released in October 2023,Fang Wei ranked 59th with a net worth of 63 billion yuan, an increase of 17 billion yuan compared with last year's wealth.

Unlike many businessmen in China, Fang Wei is one of the few entrepreneurs who has successfully jumped to a value of 10 billion yuan purely by relying on capital operation. In China, capital operation basically follows two logics, one is the asset side, and the other is the capital side, both of which are indispensable. On the asset side, Fang Wei has successively seen the opportunity through the help of high-ranking people and his own vision, and won a number of large state-owned enterprises that seem to be bad but are actually high-quality, and have staged a small and big drama again and again. On the capital side, what is little known to the public is that behind Fang Da is a strong local commercial banking system in Northeast China, and Fang Da has always been not short of money. With the ability to discover and master high-quality assets on the one hand, and sufficient funds on the other, Fang Wei's rise in a short period of time is obviously to open up the second pulse of China's capital market.

In terms of profit means, Fang Wei mainly adopts the method of agreement transfer, first acquiring a relatively difficult company, then restructuring, and finally getting it to the capital market to issue new shares to obtain profits. This trick has also been tried and tested in the past few years.

Fang Wei, who is high-profile and low-key, once talked about the concept of enterprise developmentRunning an enterprise must be beneficial to the enterprise, to the enterprise, and to the employees. Fang Wei, who is in his 50s, also said: On the day when I was too old to do anything, the entire Fangda Group donated to the party and **. Some people may be confused by the high-profile rhetoric of the other party's boss, but for an enterprise like Fangda Group, this kind of slightly high-level statement actually has his reason.

Resources. Fang Wei, a billionaire in Northeast China, gave out big red envelopes to employees, but shareholders were not happy, Radar Finance.

2. Explore Liaoning Fangda, an investor of HNA: Fang Wei, the low-key boss of a 100 billion private enterprise, Economic Observer.

Hundreds of millions of cash piled up on a wall to send red envelopes to HNA employees, the high-profile Fang Da and the low-key Fang Wei, Red Star Capital Bureau.

Related Pages