Zhao Weiguo: The purple business is summarized in four words, from core to cloud!

China Ziguang Group has been expanding frequently in recent years. It is not easy to discuss mergers and acquisitions, dig talents, and expand production capacity. The $24 billion investment case of the national storage base built by Ziguang’s long-term storage store was started recently. Now Zhao Weiguo, chairman of Ziguang, is now It is announced that in the coming year, another 46 billion wafer fabs will be built in Chengdu and Nanjing, China.

Ziguang merged with Wuhan Xinxin's subsidiary, Changjiang Storage, to co-ordinate China's national storage construction. The new plant was officially started in Wuhan at the end of December last year. Officials at the groundbreaking ceremony pointed out that the total investment of the project reached US$24 billion and will build a global single. The 3D NAND Flash plant with the largest clean room area, as well as a headquarters building and a dry supporting building, are expected to be completed and put into operation in 2018. The entire project will be completed in 2020, with a total capacity of 300,000 pieces a month.

In addition to the expansion of the plant, Ziguang's excavation movement is also not soft. After Gao Qiquan, the former chairman of Huaya Branch, moved to Ziguang in 2015, the recent CEO of Sunshine Sun Shiwei also jumped into the purple light, the same as Gao Qiquan, the same purple light. Global Executive Vice President and assisted Ziguang in the construction of a 12-inch wafer fab in Chengdu.

“2016 Top Ten Economic Persons” was held in Beijing, and Zhao Weiguo, Chairman of Ziguang Group, attended and won the award. It said that Ziguang is a company standing behind the Internet and is a service that provides basic products and key technical services for the entire information industry and the Internet industry.

Zhao Weiguo: The purple business is summarized in four words, from core to cloud!

Two years of crazy "sweeping goods"

Zhao Weiguo and his "Tsinghua Department" at the helm have accelerated their growth in the capital market in the past year. On the surface, they want to lay out the chip industry through the capital platform, but with the fierce shot in the capital market, the ambition of its capital empire is also Gradually exposed.

After throwing out the plan of the same party Guoxin’s 80 billion yuan increase plan last year, Zhao Weiguo found a feeling in the capital operation of the A-share market. This year, the Ziguang system has sneaked into the list of shareholders of more than ten listed companies in a relatively short period of time. The rapid expansion of the Ziguang system capital by means of mergers and acquisitions is the main method for the rapid expansion of the Ziguang system during this period. However, the rapid capitalization of assets may be another way for Zhao Weiguo to brew the rapid growth of the purple light system in the next period.

Zhao Weiguo once said: "The chip industry is very expensive, and capital operation is a very important means." Now, he does use this method to make it into reality.

According to the data of the quarterly report, Ziguang Group, Ziguang Communication and Tibet Ziguang Zhuoyuan of Ziguang Department hold a total of 17 listed company shares. In the first quarter of this year alone, the above-mentioned several purple-light affiliates have entered 14 new companies. According to the shareholding ratio, Ziguang holds the shares of *ST Zhongfa Langsha Shares Xinlong Holdings, Teljia and Shandong Jintai, respectively, accounting for 13.74%, 4.04%, 2.77%, 2.23% of the shares outstanding. 1.56%.

From the operation of Zhao Weiguo in the A-share market this year, every listed company he chooses is so precise.

Among the newly-increased stocks of Ziguang, six companies, Guonong Science and Technology, Ningbo Fubon, Teljia, Sunshine, Xinlong Holdings and Shandong Jintai have either been suspended or suspended in March-April this year. A considerable part of the purple light is newly sneaked into. If the purple light system still holds Telga, Shandong Jintai, Ningbo Fubon, and Xinlong Holdings in the second quarter, then the suspension rate of its lurking stocks is nearly 43%.

At present, Xinlong Holdings and Guonong Technology are still in suspension. In March this year, Xinlong Technology announced that Hainan Regulatory Authority issued a decision to take corrective measures against Guo Kaizhu, the actual controller of the company, confirming that Guo Kaizhu had no intention to acquire Xinlong Holdings and requested Guo Kaizhu to carry out rectification.

On April 8, Xinlong Holdings suspends trading due to the planning of major asset restructuring, and plans to issue shares to purchase all or part of the shares of a pharmaceutical industry company. In May, the majority of the controlling shareholder's shareholding was pledged. In the case that the controlling shareholder status could not be reduced or the transfer of the shareholding was abandoned, the company skillfully changed the actual controller by changing the shareholding structure of the controlling shareholder. This completed the rectification and laid the foundation for the acquisition. Before this, the purple light system has been stepping on the spot in the first quarter and quietly entered. The reporter noted that the data showed that as of March 31, 2016, Ziguang Group was still ranked as the third largest shareholder of Xinlong Holdings, with a shareholding ratio of 2.77%.

The reorganization of Telga does not seem so smooth. On April 27, the company announced that it plans to suspend major issues. On May 11, the company announced that it had terminated the planning of this major event because the parties concerned failed to reach an agreement on this major event. The company's stock will resume trading on May 12th. The resumption of trading fell for two consecutive days. In the five transactions after the resumption of trading, the company's stock fell nearly 40%.

However, for the newly entered company in the first quarter, Zhao Weiguo did not easily retreat. Judging from the recent performance reports of the above companies, the shareholding ratio of the Ziguang system has not changed much.

In addition to the first quarter of this year, Zhao Weiguo aimed at the A-share market and accurately ambushed 14 listed companies. According to statistics, only last year, the Ziguang Department has invested in 11 companies, involving 60 billion yuan. This year, with the rapid expansion of the Ziguang system in the capital market, the scale of its equity investment has exceeded 100 billion yuan.

M&A support chip dream

The purple light system under the control of Zhao Weiguo quietly rises rapidly and becomes a member of the capital market that cannot be ignored. The huge mergers and acquisitions in a short period of time have caused great concern in the capital market in a short period of time.

At the same time that Zhao Weiguo’s Ziguang Group and its subsidiaries became shareholders of more than a dozen listed companies in a low-profile manner, Zhao Weiguo recently released his words, Ziguang began to invest 30 billion US dollars this year to memory chip manufacturing. The field supports the dream of the chip empire of 300 billion yuan.

After Zhao Weiguo led the Ziguang Group platform, it launched a number of mergers and acquisitions. In order to squeeze into the forefront of the chip field as soon as possible, Ziguang Group privatized China's largest chip maker Spreadtrum in 2013 and 2014 for US$1.78 billion. It also acquired Rydike, which ranked second in chip manufacturing, for $910 million.

After the acquisition of Spreadtrum and RADICO, Ziguang Group successively controlled Xinhua III, laid out cloud computing and made a strong march into the field of memory chips. Last year, Ziguang bought nearly half of the shares of Hewlett-Packard's “Xinhua III” at a price of no less than US$2.3 billion. In October, Ziguang's shares of US$3.8 billion won 15% of Western Digital and then invested US$600 million to become Taiwanese. The largest shareholder. At the end of last year, Ziguang Group also built a storage industry platform through a series of capital operations. In addition, Ziguang Group also invested in the acquisition of a small stake in Marvell, the leading storage chip design company in the United States. In December last year, Ziguang Group invested in two Taiwanese companies for RMB 13.5 billion.

Some people describe Zhao Weiguo’s investment approach as “quick and fierce”. In November last year, after obtaining the status of Tongfang Guoxin’s controlling shareholder through the agreement transfer, Tongfang Guoxin threw out a fixed investment plan of 80 billion yuan under the leadership of Ziguang Group, setting the largest non-public financing record in the history of A shares. .

According to statistics, in the past three years, Ziguang Group, led by Zhao Weiguo, has dominated the acquisition of nearly 200 billion yuan in the capital market.

For why the purple light system chose to launch mergers and acquisitions at this time, Zhao Weiguo once responded that mergers and acquisitions are always a means rather than a strategy. This is a normal phenomenon in the development of the Ziguang Group to a certain historical stage. "It's a bit eye-catching, slowly, everyone will get used to it." And Zhao Weiguo also revealed that the acquisition of the purple light system will continue, or will accompany the expansion and development of the entire purple light.

Zhao Weiguo, Chairman of Ziguang Group

Zhao Weiguo: I will tell you about the situation of purple light. The business of Ziguang is summed up in four words, “from core to cloud”. The core refers to the chip. We are the largest chip company in China. We provide more than 1 billion chips per year in the design field. In the mobile phone field, every four mobile phones in the world, there is a baseband chip of a mobile phone, that is, the CPU+ transmission part is provided by us. Every four people present here have a personal ID chip that we provide. Every three people present, there is a SIM card for mobile phones that we provide. There are also some chips that are very significant to the country, but I am not here to talk about it.

In addition, we started construction of our storage base in Wuhan in 2016 last year. This base invested 24 billion US dollars. This year we have two other semiconductor manufacturing bases, one in Chengdu and one in Nanjing. The total investment of these three bases exceeds 70 billion dollars. Everyone knows that now is the Internet age, the Internet is everywhere, information is everywhere, in fact, behind the chip is everywhere. Ziguang is a company standing behind the Internet. We are the basic information and key technology services provided by the entire information industry and the Internet industry.

The industry sums up four characteristics: The first is cutting-edge technology, which is not bad compared to aerospace, and is nano-scale. The second is capital-intensive. In the core investment area of ​​the plant, the investment intensity per square meter exceeds 30,000 US dollars. Take 100 US dollars, 300 US dollars 30,000 dollars, one square meter can not be laid. The third is talent intensive and requires a lot of high-level international talents. The fourth is global competition. The competition in this industry is very, very intense.

I take this award today, it does not mean me personally, nor does it represent purple light. I shoulder the responsibility and shoulder the future of the integrated circuit industry. So thank Sina, thank the judges for giving me such encouragement, the competition in this industry is very fierce, and one mountain has let go of a mountain, we will definitely not break the Loulan.

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