In November 1993, the newly founded semiconductor company submitted a listing application on the Shanghai Stock Exchange, and then quickly passed the approval of the China Securities Regulatory Commission and the stock exchange.

Before the listing, the new venture semiconductor company has a total share capital of 10 billion shares, and plans to issue an additional 2.5 billion shares. The issue price per share is 2 yuan, which is also a financing scale of 5 billion yuan and an IPO market value of 25 billion yuan.

The scale of such financing should be very large, but there is no problem of difficulty in issuance. After all, the listing of such high-quality assets has a huge driving effect on both national science and technology and the economy.

In addition, Shanghai is also actively attracting new start-up semiconductor companies to invest in new chip production capacity in Shanghai. Many large state-owned enterprises in Shanghai have participated in the subscription of new venture semiconductor companies, and the real underwriting to retail investors is actually less than 800 million shares.

Although, at present, it is still a giant, but in the long run, new start-up semiconductor companies still have huge room for growth. After all, in the future, the world's demand for semiconductor chips has been growing continuously, and there are almost no signs of recession. In the next few decades, the demand of the semiconductor industry will definitely exceed that of the vast majority of the manufacturing industry. It can be called the fastest growing star in the manufacturing industry.

Of course, high thresholds and fierce competition are inevitable, but semiconductor companies that can occupy an advantage can do whatever they want in the future. For example, companies such as Intel and Samsung, when they later rose prices against the trend and Moore's law, consumers were obviously angry, but there was no good way to resist it.

After all, the monopoly of the chip industry in later generations has become obvious. Most of the production capacity of X86 chips is Intel Corporation, and as for memory particles and flash memory chips, they are gradually monopolized by a few manufacturers. In this way, a small number of manufacturers can find opportunities to prevent factory fires, earthquakes, tsunamis, typhoons, trade wars, exchange rate fluctuations, and insufficient production capacity...... Just pull up a reason, and you can even double the price of a product that has already been on the market within a year. This is only the factory price, as for the retail price in the market, such as the price of memory sticks, the price has increased by five or six times, and the kind of thing that allows consumers to live for a long time has also happened later. After that, I wanted to return to the low price before the price increase, and I didn't know how many years it would take to complete.

Therefore, the continuous investment at this stage to consolidate market share and advantages is actually to do whatever you want in the future, and you only need to adjust the ex-factory price as much profit as you want.

As of November 1993, the total assets of Xinchuang Semiconductor Company were 53.7 billion yuan, net assets were 10.3 billion yuan, liabilities were 43.4 billion yuan, and the asset-liability ratio was as high as 80.8193%.

Although the company's asset quality is excellent, the debt ratio is high, and the current interest rate level is not low, with an average annual interest rate of nearly 10%, and more than 4 billion yuan of interest has to be repaid a year.

Comparatively speaking, the net profit after tax after deducting various costs of new venture semiconductor companies is only about 2 billion yuan a year. A large number of equipment depreciation costs, financial costs, R&D costs, operating costs and tax costs every year make the current burden of new start-up semiconductor companies very heavy.

The return on equity may seem relatively high, but as long as the market fluctuates and competitiveness declines, it can turn from a profit to a loss at any time.

Just like AMD, although it is also one of the largest manufacturers in the international semiconductor industry. However, there are not many years of living a good life since its establishment, and it is often a matter of making a few years and losing a few years.

Even in this world, AMD's development is different from history, but now AMD is barely making ends meet, with an annual net profit of only tens of millions of dollars. Comparatively speaking, AMD's annual revenue is already more than $4 billion. Compared with the scale of revenue, AMD's profits can be called bleak, and it can only be said that it is surviving.

Of course, there are even worse companies in the semiconductor industry, which are not even qualified to survive. Once there is a lack of orders, not recognized by the market, the famous semiconductor giants, the scale of the rapid shrinkage, a few years of no money to keep up with the development of the industry, no money to add new equipment and technology, then in a few years, the original advanced equipment, will become broken copper, the company's assets become worthless.

It is precisely because of this that even if the current scale and process level of Xinqi Semiconductor are gradually equal to AMD, they dare not relax at all.

However, after the advent of the 0.5 micron process, the continuous expansion of production capacity began quickly. In the next two years, it plans to put into operation about 1 billion yuan of new production capacity every month. In order to maintain such a scale and speed of investment, in addition to relying on the company's own profits, it is more necessary to rely on financing.

The previous financing mainly relied on debt leverage, with 1 yuan of capital and 4 yuan, and through leverage amplification, the asset scale was expanded to 5 times......

But in this way, the leverage is almost used to the point where it can no longer be increased. All, through IPO financing, increase the size of the principal. According to the financing leverage ratio of 1 to 4, if you obtain 5 billion capital through equity financing, then you can borrow another 20 billion. The leverage ratio remains unchanged, but the scale of debt leverage can continue to increase. In this way, the funding gap in the next two years should have been solved.

However, the domestic IPO listing restricts the number of original shareholders to no more than 200, which will affect the employee shareholding of Xinqi Semiconductor.

But this problem, before it was ready to go public, was resolved. No, according to some companies, in order to go public, they buy back employees' shareholdings and force employees to sell their shares, which is difficult to enjoy the high returns of listing.

"On the issue of employee stock ownership, at present, we have 17,800 employees under our umbrella, and more than 3,000 people hold shares. Management and employees hold 1.16 billion shares. Hu Weiwu said, "We cooperated with Hang Seng Bank to set up the Hang Seng Phase 1 Employee Co-shareholding Trusteeship Fund, which held the employee shares in the name of the fund, so that the shareholding of more than 3,000 employees is actually unchanged, but it is reduced to one account holding, which solves the current employee stock ownership, policy and system obstacles." ”

Lin Qi nodded and said, "After the company goes public, employees should continue to hold shares for a long time. Only by holding shares for a long time and gradually focusing on the company's growth and dividends can employees pay more attention to the company's business development, not just the wages they get and the bonuses of the project. ”

Hu Weiwu said with a smile: "Our employees in the new entrepreneurship department are generally very confident in the company, and the corporate culture is to believe that they can grow together with the company and get more rewards." ”

Lin Qi nodded, this is also the strategy he has always pursued to attract talents. At present, the new venture electronics group has 20,000 people, with a total of 60 billion yuan in salary, bonuses and shareholder dividends, and an average annual income of 3 million yuan. Of course, after deducting the dividends that Lin Qi gets, the per capita of other employees will be reduced by a large margin, but the general saying is that it is very common for the 20,000 people compiled by the new venture electronics group to get an annual income of more than one million. Even if you are a newcomer, it is rarely less than 100,000 yuan a year.

Among the 20,000 people of the group company, there are no less than 100 people with a net worth of hundreds of millions, and more than 5,000 people with a net worth of 10 million. Most of them have a net worth of more than one million.

This has also led to the fact that the annual recruitment of the new venture electronics group has been reduced to less than 500 people. Only when the group leaves, retires or transfers its establishment to a subsidiary, the group establishment is no longer retained. After that, if there is a vacancy in the establishment, it will be used for recruitment.

It is precisely because of this that the recruitment threshold is getting higher and higher, basically, it is more difficult than the Chinese Academy of Sciences to recruit scientists or the recruitment of CEOs of large domestic enterprises. Once the quota is released, not only young people under the age of 30 in Hong Kong and China will rush to seize opportunities, but even some industry elites in developed regions such as Japan, Europe and the United States may give up their income and jobs, which are not low, and choose to try their luck at the new venture electronics group.

The staff establishment of the group company, many employees even proudly said that even if they took 100 million yuan to exchange with him for an ordinary staff, it was not uncommon. After all, with a net worth of 100 million yuan, the old employees within the group are no longer good, and the billionaires are also ordinary, talking and laughing with ordinary colleagues. Although the threshold for a net worth of hundreds of millions is relatively high, it is not too difficult to enter the 10 million club in the group company. As long as there are elites who have the ability to squeeze in, there are countless innovative projects and opportunities within the group, and if you seize some opportunities, you can quickly become a club with a net worth of more than 10 million.

Due to the case of the group company in front of them, the subsidiaries of the new venture department, more than 2 million employees of the subsidiary, although not so good to get the good treatment and report of the new venture electronics group company. However, major subsidiaries have similar employee growth plans, and employee stock ownership is used to obtain returns other than wages.

Although the growth rate of subsidiaries is uneven, and most of them cannot be compared with the new venture electronics group, the culture of growing with the company and getting rewards is a corporate culture that is very common and deeply rooted in the new entrepreneurship department.