A century-old wealthy family that rose from Shanghai

Mid-June, Ping An Bank Building.

Xinfeng Textile held a high-level meeting, which was attended by Xia Gaoxiang and Ye Ximing of Ping An Bank as directors.

Tong Runfu, Li Shengbo, and the others looked at Chen Guangliang with respectful eyes. They never expected that they would be the biggest beneficiaries of this 'yarn exchange scandal'.

250 packs, each costing 290 yuan, earned 2.5 million yuan from this part alone.

In reality, Hsinfeng Textile still has a large inventory, about 2 bales.

At the start of the meeting, Chen Guangliang said, "The existing spindles and cotton yarn bales of Xinfeng Textile will serve as strategic material reserves for the future. The price of cotton yarn has been driven up this time, and it may fall back in the short term, but in the long run, there is no problem in stabilizing the price."

Once the war started, it was normal for cotton yarn to cost 300, even before the devaluation of the legal tender (which gradually devalued after 1940).

Tong Runfu nodded and continued, "Since its opening, Xinfeng Textile has generated 600 million in profit. After deducting the investment in the Hong Kong and Chongqing factories, there is still 350 million in profit left. How should this be allocated?"

Clearly, this is what this meeting was about.

Chen Guangliang immediately said, "I'll take out 300 million yuan for dividends. After all, I've invested in the sugar and alcohol industries and owe Ping An Bank a lot of debt."

Each received 150 million yuan. Chen Guangliang used his dividend to repay Ping An Bank, leaving him with 450 million yuan in debt.

Tong Runfu said, "There is no problem with that. In fact, the three million in dividends are basically the profits from speculating on cotton yarn. Xinfeng Textile's assets have reached 1500 million (the inventory of cotton yarn alone is worth 600 million), while its debt remains at 500 million. It is developing quite rapidly."

Net assets have exceeded 10 million, an increase of 70-80% in just two years.

Moreover, this grand drama has not yet begun. From 1938 to 1940, the textile industry was highly profitable. The four textile factories in Xinfeng could easily earn 500 million a year.

Chen Guangliang continued, "Next, I will be temporarily relocating to Hong Kong. I will be leaving the management of Xinfeng Textile to the four of you. Please contact me by phone or telegram if you have any questions. Of course, if conditions permit, I will come to Shanghai to discuss things with everyone."

Upon hearing this, the four were somewhat surprised, and even wondered to themselves – was Chen Guangliang being too pessimistic? The concessions were so safe, how could they be worse than Hong Kong?
Of course, no one said anything.

In the past year or two, Chen Guangliang has often been away from Shanghai. These companies already have well-established operating rules, and they can operate normally even when Chen Guangliang is not around.

"Ok"

The meeting was then adjourned.

Xinfeng Textile currently has three factories in operation, while the Chongqing factory has only recently received its textile equipment and is not expected to start operations until the end of the year.

The same goes for sugar mills; they won't start operations until around October, which is when the sugarcane is in season.

Immediately afterwards, Chen Guangliang convened a meeting with senior executives of Ping An Bank to discuss the matter.

"Find an opportunity to sell the shares of the four northern banks; any profit will do."

This time, Chen Guangliang profited twice. Taking advantage of the sharp drop in the stock prices of the four major banks in Beijing, Ping An Bank absorbed over a million shares; conservatively estimated, he can earn around 20 yuan.

Ye Ximing nodded and said, "The stock of Bei Sihang has stabilized, and we will sell it as soon as possible."

Then, Chen Guangliang said, "Currently, Times Pictures' loan is only 80 yuan, Xinfeng Textile's loan is only 500 million yuan (cotton inventory is worth 600 million yuan), and my personal loan is 450 million yuan. Ping An Bank has restored its substantial cash reserves, and the loan-to-deposit ratio is less than 50%."

Xia Gaoxiang added, "The loan-to-deposit ratio is 46%, and Ping An Bank's total deposits reached 3500 million yuan, while its total loans amounted to 1610 million yuan. In fact, the funds lent to Xinfeng Textile can also be considered cash flow, since cotton yarn bales can be converted into cash at any time."

It was a loan to Chen Guangliang personally, and as everyone knows, Chen Guangliang is not short of money. In the first half of this year, Chen Guangliang and his family entrusted Ping An Bank to transfer 11.8 taels of gold to Hong Kong.

This portion of funds was originally considered a deposit of Ping An Bank, but it was later disqualified and is now considered a vault asset of Ping An Bank in Hong Kong.

In other words, this 3500 million yuan in deposits has increased dramatically in the past year or so, and is basically the assets of depositors.

Ye Ximing then spoke up, "Now that Ping An Bank's loan-to-deposit ratio has dropped below 50%, could we consider new projects for our loans or investments, such as acquiring real estate in the concession area?"

This is a good suggestion.

In 1938, the concessions saw an influx of three million people, increasing the population from 160 million to 450 million. How could rents not skyrocket?
Chen Guangliang immediately said, "Take out 3 million yuan to purchase residential rental properties and textile machinery and equipment. We need to act quickly and try to complete it before August, but don't buy anything expensive."

The dividend from Xinfeng Textile this time is 150 million, plus the profit of 20 from the stock of Beisihang, which only amounts to 170 million.

However, Ping An Bank now allows depositors to invest their funds without any risk.

Xia Gaoxiang, Ye Ximing, Zhang Shounian and others immediately agreed, saying that Ping An Bank's achievements today, with assets approaching ten million, are naturally inseparable from its investments.

Chen Guangliang's idea was simple: after 1939, Ping An Bank's assets would either be converted into fixed assets such as real estate, or part of them would be deposited in the United States in the form of gold and US dollars.

Finally, Chen Guangliang said, "Next month I will be stationed in Hong Kong. You will be in charge of the Shanghai market. I will also keep in touch with you remotely."

Currently, the Hong Kong branch is already operating independently, with deposits, loans, and investments accounted for separately, but it is not yet registered separately; this will have to wait until after 1945.

"Ok"

No one was surprised anymore, since Ping An Bank was indeed largely run by its management team, with the boss only offering his opinion at crucial moments.

In the afternoon, Chen Guangliang arrived at the villa on Weihai Road. It was basically empty, but Chen Guangliang did not sell it. Instead, he planned to keep it as a memento.

He refused to sell it, not even after 1945. In the 90s, he demanded that the government repay him.

"It's a bit of a waste to leave it empty."

Looking at the empty villa, Chen Guangliang said something.

He has moved to a suite at the Shangri-La Hotel, so this place is now completely empty.

At this moment, Lin Feng, the head of the bodyguards, said, "Boss, should we have someone tidy it up and make some simple arrangements so that you can stay here when you go back to Hong Kong?"

Chen Guangliang laughed and said, "I'm afraid it will be difficult to go back, but it really shouldn't be wasted. Let someone tidy it up and leave this place for the employees of Ping An Bank to live in!"

It's true that we can't waste resources; providing benefits to Ping An Bank employees can also save on rent.

At this moment, Lin Feng suddenly said, "Boss, I want to take my family to Hong Kong!"

Chen Guangliang laughed and said, "This concession is quite safe, much more prosperous than Hong Kong. Are you sure they want to go to Hong Kong?"

Lin Feng insisted, "Wherever the boss goes, our family will go. Hong Kong is great, and my family is willing to go to Hong Kong with me." Chen Guangliang nodded and said, "The ship is very big. We'll leave together in early July. You can pack your things."

During this trip to Hong Kong, the Chan family naturally took a group of security personnel with them, but the family members of these security personnel could choose freely.

As for Zhou Xinggao, he voluntarily stayed in Shanghai. Chen Guangliang didn't say anything, after all, Shanghai also needed people. Zhou Xinggao continued to act as Chen Guangliang's eyes and ears, making arrangements in the Shanghai Changjiang Car Rental Company.

"Okay, I'll have my family prepare."

The next day, Chen Guangliang arrived at the new Vitasoy factory on the Suzhou River (concession).

In the first half of this year, Vitasoy sold its two factories in the Chinese-controlled area and moved into a factory in the concession area that had been under construction since the beginning of last year. This series of moves naturally puzzled many, but Chen Guangliang didn't need to explain much.

Moreover, the new factory mainly produces two products: 'soy milk powder' and 'White Rabbit milk candy'. The daily production of bottled soy milk is only 3 bottles, which reduces output.

"Boss, all three products have started production here. Except for the bottled soy milk, which has seen a reduction in production, the other two products have actually increased in output," General Manager Chen Shiyuan reported from the side.

"Okay, let's go check out the warehouse!"

"it is good"

Soon after, Vitasoy built a large number of warehouses right next to the factory.

Chen Shih-yuan said, "7% of the warehouse's supplies are white sugar and milk powder, which we have stored very well. In addition, we are working overtime to organize the production of soy milk powder and milk candy for reserves."

Chen Guangliang naturally wouldn't stockpile large quantities of supplies like soybeans; instead, he stockpiled large amounts of white sugar. It's simple: Japanese warplanes would prioritize targeting sugar mills in Guangdong and Shanghai.

At that time, white sugar will definitely become a scarce commodity.

Chen Guangliang did not stockpile such 'supplies' for direct sale, as that would easily be seen as profiting from the war. Instead, he sold these supplies in the market as products, which would naturally cause the prices of these products to skyrocket along with the overall price of goods, thus generating huge profits.

"White sugar is easy to store, but you should still take precautions."

"Ok"

Back in the conference room, Chen Guangliang held a meeting with Vitasoy's senior management.

In recent years, Vitasoy has been expanding its scale, with annual profits exceeding 20 yuan, making it comparable to a large enterprise. Its products, such as soy milk powder and White Rabbit candy, have become national brands and are deeply loved by Chinese people.

"How is Manager Wu's work situation in Chongqing?"

Wu Guangsheng led a team to Chongqing to establish a branch factory. Originally, Chen Guangliang did not plan to invest, but later he thought that a medium-sized factory could be built in Chongqing for 'soy milk powder' and 'White Rabbit' milk candy, so the bottled soy milk business was naturally abandoned.

Chen Shiyuan said, "We are already debugging the machines, but the supplies there are not as convenient as in Shanghai. We have sent another group of people over there to organize production as soon as possible."

Chen Guangliang nodded. The main reason why many factories were unwilling to relocate to Chongqing in the second half of this year in his previous life was that it was inconvenient to obtain raw materials in inland cities, and it was also inconvenient to export products.

In fact, the Shanghai business community did not react enthusiastically to this large-scale relocation, partly because the relocation fees offered by the Shanghai government were not high; even entrepreneurs like Liu Hongsheng were initially unwilling to relocate and even proposed the far-fetched idea of ​​creating an offshore trading port.

And in the end, it was proven that those who moved their factories to the concessions at the first opportunity made a fortune. Later statistics showed that if the profit index was 100 in 1936, the profit index in the concessions after 1938 was around 400.

"Okay, Vitasoy's success today is inseparable from everyone's joint efforts. The situation ahead is quite complex, and I hope everyone will continue to stay focused and work hard to develop this company well."

"Yes, boss"

Vitasoy also has a group of workers, about 800 people. Chen Guangliang also took their livelihood issues into consideration and dared not say that he would not open the factory.

In fact, although Chen Guangliang moved to Hong Kong, no one in Shanghai was laid off.

In early July, after handing over all his authority in Shanghai to his subordinates, Chen Guangliang boarded a Swire ship and left Shanghai.

There were quite a few people accompanying him, including some of the bodyguards' family members, all of whom were willing to go to Hong Kong with Chen Guangliang.

Watching the city of Shanghai gradually disappear into the distance, Chen Guangliang felt a mix of emotions. His next return to Shanghai would likely be after the war ended. After all, there were too many spies in the foreign concessions, and he would inevitably find himself in the eye of the storm once he arrived in Shanghai.

Standing on the deck, Chen Guangliang also worried about his compatriots who were about to lose their lives, as well as those who were about to suffer.

Of course, Chen Guangliang's trip to Hong Kong was not a 'retirement'; he would continue working—transporting strategic materials from Shanghai to the war-torn areas. And if the employees of the 'Chen's Enterprises' he cared about encountered difficulties with their living conditions, Chen Guangliang could also procure supplies from Southeast Asia to provide them.

The only thing they couldn't do was purchase supplies from Southeast Asia and sell them in the Shanghai International Settlement, because that would be seen as profiting from the war. If they were only managing their own five or six thousand employees, no one would say anything.

Chen Guangliang didn't feel too much reluctance to leave Shanghai, after all, he knew that his future career would be developed in Hong Kong and overseas.

Back in the cabin, Chen Guangliang let Lin Feng come in with him.

"Get some food and drinks, let's have a drink, you and I!"

"Okay, I'll get started right away."

Soon, the roast chicken and liquor brought from Shanghai were laid out, and Chen Guangliang and Lin Feng sat down.

Do you think Zhou Xinggao's mindset has changed this time?

Chen Guangliang was enjoying his chicken leg and some baijiu (Chinese liquor).

Lin Feng said, "He has always been bold and adaptable in his work, and he does enjoy life. It's normal for him to want to stay in Shanghai and work for you, Boss. However, this time, he does seem to have a strong attachment to Shanghai and doesn't really want to go to Hong Kong with you, Boss."

Chen Guangliang said, "These are not problems. I'm worried that he might go astray and become a traitor to the Japanese. Therefore, you need to share some of the power over our forces and informants in Shanghai. We can't let him control everything himself."

Although Raymond Lam comes from Fan Gua Nong, he has learned a lot of culture over the years under the encouragement of Chan Kwong-leung, and has become more and more mature in handling matters.

"Ok"

Zhou Xinggao's little schemes over the past few years naturally did not escape Chen Guangliang's notice. First, he concentrated a lot of power in his own hands. For example, the car dealership had actually become a gang. Second, he married three concubines. This kind of extravagant lifestyle was no longer enough for the benefits and treatment of the head of Chen Guangliang's bodyguards, so he also started his own small business. Finally, Zhou Xinggao's personality was such that he was unwilling to accept that things were just like this.

Generally speaking, Zhou Xinggao would not betray Chen Guangliang, since it would not benefit him; however, once the Wang Jingwei regime comes to power, Zhou Xinggao might very well betray him.

Even if he were to become a traitor, he would still bear some responsibility towards Chen Guangliang. Therefore, Chen Guangliang decided to let Lin Feng return to Shanghai to rival Zhou Xinggao. If necessary, he would distance himself from him.

Moreover, Chen Guangliang's network in Shanghai consisted of informants; he didn't need any real power. (End of Chapter)