The time goes back to around 17:33 on the evening of June 14, 2020. In Villa A60 of Junlan International Golf Lifestyle Village in Beijiao, Shunde, due to the impact of the new crown epidemic, his son He Jianfeng, who was originally abroad, , daughter-in-law Lu Deyan and grandson all returned to China. He Xiangjian, founder of Midea Group, is enjoying a rare family reunion.
Suddenly, five strange men broke into the home, one of whom claimed that he had explosives tied to him. Then he made his intention to come, and his goal was to directly control He Xiangjian and ask for a large amount of money from him.
However, when the criminal suspect focused his attention on He Xiangjian's fitness, He Xiangjian's son He Jianfeng did not hesitate, immediately jumped into the river next to the villa, swam all the way to the other side, and successfully called the police.
After receiving the alarm, three-level police forces from Guangdong Province, Foshan City, and Shunde District were dispatched urgently and quickly surrounded the He family villa. After 12 hours of long negotiations, the crime was subdued at 5 a.m. the next day. The suspect successfully rescued 79-year-old He Xiangjian. Mr. He, who has experienced many storms and waves in his life, fortunately had a false alarm in the end, and the entire He family was rescued safely without any injuries.
According to the police report afterwards, the cause of the whole incident was explained: The principal culprit Li Moulong, a native of Zhanjiang, was unemployed and addicted to gambling. He later had evil thoughts and wanted to make money by kidnapping the richest person in Shunde. "Big money". So, he gathered his friend Chen Mousi and three fellow villagers to agree on a distribution plan after receiving the huge sum of money. After months of careful planning, it was decided to take action on June 14.
The five suspects knew that He Xiangjian was rich, but they did not know how rich He Xiangjian was.
In 2020, the He Xiangjian family ranked sixth on the New Fortune 500 list with a net worth of 165.27 billion yuan. In the past seven years, He Xiangjian has been the only traditional manufacturer among the ten richest people in China. It was also regarded as the "biggest enemy" by Dong Mingzhu.
Midea Group, which has been dedicated to its entire life, currently has a market value of over 400 billion yuan, an increase of 100 billion yuan in the past year. In 2019, Midea's revenue exceeded 270 billion yuan and its net profit was 25.3 billion yuan, which was nearly twice the net profit in 2015. Regardless of performance or market value, Midea has demonstrated to the capital market the strong growth of the manufacturing giant. He Xiangjian's main wealth comes from holding 31.07% of Midea Group shares.
As a white goods giant comparable to Gree, Midea Group is still firmly in the hands of Midea Holdings, with He Xiangjian as the actual controller. He Xiangjian is the soul of Midea Group and the He family. He Xiangjian's only son He Jianfeng, his daughter-in-law Lu Deyan, and his two daughters He Qianxing and He Qian'e are the right-hand men of the family.
After completing simple mergers and acquisitions in his early years, He Xiangjian, who was familiar with the business, began to make great efforts in listed companies. According to incomplete statistics, He Xiangjian family members currently control 8 listed companies, including 6 A-share companies, 1 New OTC company, 1 Hong Kong stock company, and 1 German company. They have also participated in more than 10 financial companies. mechanism.
In addition, Wandong Medical (600055.SH) disclosed in February this year that it would be acquired by Midea Group. It has now issued an equity change report, which means that it has also been acquired by the He Xiangjian family.
A capital landscape with He Xiangjian as the core, covering manufacturing, automobiles, medical care, real estate, culture, environmental protection, film and television, finance and new energy, has emerged, and is constantly developing and expanding... < /p>
A Midea Group employee once revealed that He Xiangjian rarely appeared in the company except for the Midea Group’s annual meeting dinner. A Midea Group employee once described He Xiangjian at the dinner to the media: "The boss is very easy-going, quiet, and smiles, just like an old man next door." But even so, this did not affect his role as the soul of Midea Group at all.
In May 1968, He Xiangjian raised 5,000 yuan to establish the "Beijie Office Plastic Production Group" in his hometown of Shunde. In 1980, he began manufacturing fans and entered the home appliance industry. The following year, he registered the "Midea" trademark. In 1992, Midea was promoted to undergo joint-stock restructuring.
Midea Electric was listed on the Shenzhen Stock Exchange in 1993, becoming China's first listed company reorganized from a township enterprise, with a market value of 1.8 billion yuan. Revenue increased from 487 million in 1993 to 2.5 billion in 1996, which is a rapid development.
In 2001, the company completed the equity acquisition of the company's senior managers, further improving the modern enterprise system.
In the first few years after its listing, Midea Electric still focused on industrial development. In 2007, Midea's capitalization route began to take shape, and the well-known investment bank Goldman Sachs was introduced as a second shareholder.
He Xiangjian resigned as chairman of Midea Group on August 26, 2012. He currently serves as chairman of Midea Holdings Co., Ltd. and honorary chairman of Guangdong He's Charity Foundation. Handed over to professional manager Fang Hongbo. Midea has also begun to enter the era of professional managers.
After taking office, Fang Hongbo carried out "stormy" reforms with the attitude of a "strong man cutting off his wrists". Its first major event was the completion of the Midea Group's share exchange, absorption and merger, and the overall listing of Midea Electric Appliances, making Midea the leader in A-share home appliances. From 2016 to 2017, Midea ushered in its moment of glory, with its market value reaching the top position in the Shenzhen Stock Exchange many times.
However, regardless of "handover" or not, He Xiangjian has never stopped expanding. Midea Group started its merger and acquisition expansion in 2017. Midea Group's announcement shows that on January 6, 2017, Midea Group acquired the German-listed industrial robot KUKA Company (KU2.DF) for 29.2 billion yuan, of which He Xiangjian indirectly held 94.55%.
Evergrande, Baoneng and other real estate and insurance giants are obsessed with cross-border car manufacturing, and Midea has not given up joining in the "fun". In 2020, Midea HVAC Equipment Co., Ltd. acquired Hekang Xinneng (300048.SZ) in the automotive industry for 740 million yuan. He Xiangjian holds 23.73% of the shares and becomes the actual controller. Midea Group stated externally that Hekang New Energy’s business layout in energy conservation, environmental protection, new energy vehicles and other businesses will increase the diversity of Midea Group’s business.
In February this year, Midea Group announced that it would acquire 29.09% of the equity of Wandong Medical and become its controlling shareholder.
Of course, Midea’s expansion continues. Midea Innovation Investment Co., Ltd. holds 1.13% of the shares of semiconductor and intelligent equipment company Espressif Technology (688018.SH), and Midea Group holds 9.1% of the shares of robot manufacturing company Eft-U (688165.SH); Midea Intelligent Technology Industry The Investment Fund Management Center holds 2.18% of the shares of Youfang Technology (688159.SH), an industrial Internet of Things company.
However, the diversified development strategy led by Midea Investment has also been tested. Kuka Robot, acquired for 29.2 billion yuan, currently has a market value of only 1.667 billion euros (equivalent to 12.886 billion yuan, exchange rate 7.73).
Liang Zhenpeng, an analyst in the home appliance industry, told Yema Finance that Midea’s diversification has taken too big a step, and it is all non-related diversification. Even some small companies have acquired third-tier brands like Lingwang Elevator, which is similar to Midea’s. There is also a certain degree of synergy in the real estate business. However, after acquiring a large number of non-related businesses, there are no professionals to manage them, and they also occupy the development resources of the main business. Such diversification is very dangerous. Historically, companies such as Little Swan, Aucma, and Chunlan all overturned their main businesses due to diversified expansion.
Among the second generation of the family, He Jianfeng, the beautiful "prince" who swam to save his father, chose not to take over. However, everyone should know that his family wealth mainly comes from two parts. The first part is the well-known Midea Group. The other part is the Yingfeng family controlled by He Xiangjian's son He Jianfeng. So it seems that He Jianfeng is starting a new career, but his development still maintains close ties with Midea.
He Jianfeng was born in 1967 and graduated from South China University of Technology. He started his own business at the age of 27, and initially started his father's old business.
In 1994, He Jianfeng established a company in Shunde and started producing rice cookers, induction cookers, etc. for Midea OEM. In 2002, Infore Holdings was established, with its business covering fans, electric heaters, rice cookers, etc.
However, He Jianfeng soon realized that his strength was not in industry.
He Jianfeng cashed out nearly 70 million in 2004, which he earned by selling two of his companies to Midea Electric.
In 2006, Midea Group and Zhongshan Jiayu Investment Co., Ltd. transferred part of the equity of ST Shangfeng (000967.SZ) to He Jianfeng without making a penny, making He Jianfeng the controller of the listed company. In the end, He Jianfeng still got Midea's glory.
It is reported that He Jianfeng has already begun to prepare his own acquisition plan in the investment field. In 2008, He Jianfeng adjusted the company's development strategy and changed the company's name to "Guangdong Yingfeng Investment Holding Group Co., Ltd.", announcing Guangdong Yingfeng's complete transformation from an industrial company to an investment company.
In March 2016, Shangfeng Hi-Tech changed its name to Infore Environment. He Jianfeng started to have his first listed platform - Infore Environment.
In March 2018, He Jianfeng spent 1.8 billion to acquire the film and television company Hualubaina (300291.SZ). He personally holds 4.45% of the shares and holds a total of 17.55% of the shares through Infore Holdings and affiliated companies. , He Jianfeng holds a total of 34.1% of the shares and is the ultimate beneficiary.
Among them, the main executives of Infore Environment and Hualu Baina controlled by He Jianfeng are all from the old department of Midea, such as Fang Gang, Chen Jianwu, Zhang Jingping, and Kuang Guangxiong, and Fang Gang served as the director of Infore Environment and Hualu Baina at the same time. Chairman of the Board, Kuang Guangxiong also served as a director of both companies.
Infore Environment announced in May 2020 that it plans to promote its wind turbine industry to go public. It is estimated that He Jianfeng will soon usher in his third listed company.
After that, under the leadership of He Jianfeng, Infore Holdings was singing all the way. Infore Capital, a subsidiary of Infore Holdings, has laid out AI and robotics tracks. Infore Capital invested US$410 million (equivalent to RMB 2.684 billion) in SenseTime Technology and RMB 135 million in Kuwa Robot. It also invested in unicorns in the AI ??field such as Yunzhisheng and Cloud Whale Intelligence.
With the opening of the Science and Technology Innovation Board and the wave of AI companies such as Megvii going public, the He Xiangjian family’s “listed company club” will also welcome more players.
At the same time, the He family and his son worked together to quietly control many financial institutions and made great gains.
According to data from the Private Equity Ranking Network, Infore Capital currently manages more than 10 billion yuan and has 43 funds under its umbrella.
In July 2015, He Jianfeng was involved in "short selling" rumors, and the secondary market private equity layout was exposed. In this "short China" controversy, 34 accounts on the Shanghai and Shenzhen exchanges were restricted from trading. Infore Capital’s four quantitative hedge fund accounts are among them.
The joint largest shareholder of E Fund is Infore Holdings, which holds 22.65% of the shares; it is also one of the founders of Guangdong Mintou, a joint investment platform for private enterprises in Guangdong Province. According to Tianyancha, Infore Holdings has 4 funds, all of which belong to the commercial service industry, and its foreign investment funds have as many as 19.
In addition, Shunde Rural Commercial Bank, known as the "treasury" of Shunde, has also been invested in by He Jianfeng and Midea. The bank is currently preparing for an IPO. The "Prospectus" shows that the second and fifth largest shareholders are Midea Group and Midea Finance Company. He Jianfeng personally holds 0.02% of the shares. The three hold a total of 9.71% of the shares, which greatly exceeds Chengshun Assets and Shareholders including Guangdong Wanhe Group.
In addition to the above-mentioned financial institutions, according to the article "Midea’s Young Owner Is Involved in Short-selling Suspicions" published by China Business News in August 2015, at that time He Xiangjian and his son also took shares in Golden Eagle Fund, Bank of Jiangsu, Hubei Bank, Jiangxi Zhangshu Shunyin Rural Bank, Fengcheng Shunyin Rural Bank, Zhejiang Shangyu Rural Cooperative Bank, and Kaiyuan Securities.
It is not uncommon for He and his son to have "one generation engaged in industry and the second generation engaged in finance", such as Zhu Mengyi and his daughter Zhu Juerong of Hopson Development.
According to analysis by industry insiders, "it is easy to win a country, but it is difficult to defend it." The macro environment is different, and the industry is not as easy to do as before. Turning to new economic fields such as finance is a good choice. Moreover, China's wealth market has just begun. More public money will flow into equity assets, and the investment industry will be an explosive industry.
The changes in the role of women in the He family in the United States began in 1997. In that year, in order to better promote the modernization of the company, He Xiangjian persuaded a group of entrepreneurial veterans to quit, including his wife, who was then Liang Fengchai, the warehouse manager.
Lu Deyan, the daughter-in-law of He Xiangjian, ranked 21st on the 2020 Hurun Women Entrepreneurship List with a net worth of 29.5 billion.
Lu Deyan is also very low-key. The outside world only knows that she was born in 1967, is a permanent resident of Hong Kong, and has permanent residency abroad. Others are rarely exposed to public information.
Among them, Lu Deyan and her father-in-law He Xiangjian*** both run Midea Holdings, the major shareholder of Midea Group. It is reported that the controlling shareholder of Midea Group is Midea Holdings Co., Ltd., which holds 35.49% of the shares. Midea Holdings is actually controlled by He Xiangjian, who holds 94.55% of the shares. The remaining 5.45% shares of Midea Holdings are held by He Jianfeng’s wife Lu Deyan, with a market value of 10.428 billion yuan.
In addition to the daughter-in-law, the two daughters also occupy important positions in the family. He Xiangjian's eldest daughter is named He Qianchang, and his younger daughter is named He Qianxing. They are both business people.
Not long ago, a Hefei company named "Huitong New Materials" submitted materials for listing on the Science and Technology Innovation Board, which attracted a lot of attention. This company is controlled by He Qianchang, but it is chaired by a woman named Li Jianyi. He Qianchang directly holds 34.01% of the equity of Huitong New Materials. Li Jianyi was once the director of a company under Midea Group. His sister He Qianxing is also a natural person shareholder of Hefei Huitong New Materials Co., Ltd.
At the same time, He Qianchang is also the actual controller of a century-old Molding Technology Co., Ltd. in Hefei.
The above-mentioned enterprises mainly produce molds and plastic products and belong to the upstream industry of Midea Group.
Industrial and commercial information shows that He Qianchang and He Qianxing are both members of Foshan Shunde District Yinghai Investment Co., Ltd. (both hold 4.55% of the shares).
Daughter-in-law Lu Deyan, in addition to holding Midea Holdings shares, is also the head of Midea Real Estate. Midea Real Estate is listed in Hong Kong, with annual sales of hundreds of billions, holding more than 20 commercial centers and tens of millions of square meters of reserve land. Now she is in charge of her family's real estate business - she is the actual controller of the Hong Kong stock company Midea Real Estate (03990.HK) and the New OTC Market company Midea Property.
In 2004, Midea Real Estate was officially established and developed their first project, Junlan International Golf Community, in Foshan, Guangdong Province, where the hijacking incident occurred. At the end of 2008, real estate experienced a boom, but at that time Midea was experiencing a crisis in its main business, and its real estate business was at a standstill.
In fact, Midea Real Estate was established as early as 1995, but it has never developed. In 2013, He Xiangjian transferred all the equity of Midea Real Estate to Lu Deyan. After that, the real estate business developed independently, and Midea Real Estate gradually improved. It was listed on the Hong Kong Stock Exchange in October 2018.
In 2019, Midea Real Estate’s sales reached 101.23 billion yuan. Sales in 2020 were 126.16 billion yuan.
He Xiangjian’s two daughters, He Qianchang and his younger sister, He Qianxing, have also made great contributions to the family business.
Tianyancha shows that the eldest daughter He Qianchang controls 10 companies, 7 of which are new material companies. It mainly produces molds and plastic products and belongs to the upstream industry of Midea Group. According to Midea Group's financial report, from 2018 to the first half of 2020, the amount of goods purchased by Midea Group from Huitong New Materials Co., Ltd. controlled by He Qianchang was: 333 million yuan, 1.16 billion yuan, and 519 million yuan respectively.
In November 2020, He Qianchang’s Huitong Shares (688219.SH) was also listed on the Science and Technology Innovation Board. She holds 30.61% of the shares. Based on market value, her net worth is approximately 4.8 billion yuan.
The younger sister He Qianxing serves as a senior executive in 7 companies including Midea Holdings. According to Times Weekly, He Qianxing worked in the electronic device industry and ran Guangdong New Technology Group. He Xiangjian later handed over some business in Hong Kong to her.
In addition, He Qianchang and He Qianxing are both shareholders of Yinghai Investment Company, a subsidiary of Infore Holdings, each holding 4.55% of the shares.
Among them, the He family also produced a son-in-law who was "the best in hot money". It is also quite legendary. Before 2007, he had speculated in stocks such as Fudan Fuhua, Farson, Lotus MSG, Hanshang Group, etc., and made very huge profits. Therefore, he was known as the "most awesome hot money" and was quite famous. . In 2010, he was still on the A-share Fortune 1000 list of "Financial Business" magazine.
We have to admit that the sons, daughters, and daughters-in-law of the He family are all talents, but Midea’s operations mainly rely on the team of professional manager Fang Hongbo. Midea Group’s 2020 semi-annual report data shows that Fang Hongbo, who serves as chairman and president Fang Hongbo received pre-tax remuneration from the company of 9.63 million yuan in 2020; vice presidents Yin Bitong, Gu Yanmin, and Zhu Fengtao received 7.65 million yuan, 3.48 million yuan, and 4.94 million yuan respectively. Perhaps "sharing" may be the most important exclusive secret of "Beautiful Series".
"The most critical point in Midea's succession issue is to "manage its own power and make good use of the people who can use it." The He family has mastered the equity and control rights and made good use of people like Fang Hongbo. A team of professional managers. Now the most important issue in Midea's diversified expansion is whether it can find the second and third Fang Hongbo," said Li Delin, a well-known financial influencer and founder of Delin News.
In the wave of price wars for air conditioners, Midea's strategy to survive is to single-handedly anchor the pillar product of air conditioners, and carry out chain actions of refining technology, increasing production, expanding scale, lowering prices, and occupying the market. , first-hand development of diversified product lines, production of small household appliances such as rice cookers, water dispensers, microwave ovens, etc., to increase cash flow and replenish ammunition for the air-conditioning battlefield at any time. In the incremental market, Midea has stood out from the brutal competition with its scale strategy of low price and high volume, establishing its position as the industry leader in white goods.
Under the wave of rapid iteration of global technology, Midea Group has upgraded its positioning to a "globally operated technology company." Since 2016, Midea has successively acquired 95% of Toshiba's white goods business and 95% of the equity of Germany's KUKA Group. Its industrial territory has extended to the intelligent robot and automation system business, and it has built four major business segments: consumer appliances, HVAC, robots and automation systems, and digital business. . As of the end of 2019, Midea Group had more than 150,000 employees, with business covering more than 200 countries and regions. It paid 4.652 billion yuan in income tax throughout the year, making it a well-known leader in all categories of white goods.
Midea Group’s future growth is still immeasurable. Midea's professional manager team, with Fang Hongbo as the core, including vice presidents such as Gu Yanmin and Wang Jianguo, are mostly strongmen who have worked at Midea Group for 20 years, were promoted from the business line of the division, and have grown up with Midea.
It can be seen that Midea Group may be the most adept at using professional managers among the listed companies in the entire A-share market. Through investment and collaboration, family members have gradually built a huge "Midea System" that spans Manufacturing, automobile, medical, real estate, environmental protection, film and television, finance and other industries, and are still expanding... Midea Group has completed the smooth handover of two generations of leaders, which not only promotes its modern enterprise management system, but also provides A The stock market has also brought thinking to many family-owned private enterprises facing inheritance problems, and actual development has demonstrated that the inheritance of family wealth does not necessarily have to be achieved by second-generation succession.
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